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Multilateral Liberalisation of Services Trade

Staff research paper

This paper was released on 16 March 2000. Earlier versions of this paper were presented at the 28th Annual Conference of Economists at La Trobe University in September 1999, and at the World Services Congress in Atlanta and Australian National University in Canberra in November 1999.

This paper compares estimates of the gains from eliminating barriers to trade in services with those from eliminating post-Uruguay barriers remaining in the traditional areas of agriculture and manufacturing. It uses a model that incorporates a bilateral treatment of foreign direct investment, one of the key vehicles by which services are traded internationally.The model is a version of GTAP with foreign direct investment, known as FTAP.

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The Productivity Commission today released a staff research paper entided Multilateral Liberalisation of Services Trade.

The paper compares the gains from eliminating barriers to trade in services with those from eliminating post-Uruguay barriers remaining in the traditional areas of agriculture and manufacturing. It makes use of the first of a comprehensive new set of estimates of barriers to services trade that were summarised in the Commission's 1998-99 Trade and Assistance Review.

The paper is the latest in a stream of Commission supporting research on the theme of domestic and international competition policy.

Background information

Leonora Nicol, Media and Publications 02 6240 3239 / 0417 665 443

Preliminaries
Cover, Copyright, Contents, Preface, Summary

1 The FTAP model
Theoretical structure
Model Database

2 The Effects of Eliminating Post-Uruguay Barriers to Trade

3 The Effects of Partial Liberalisation of Services Trade

4 Agenda for Further Research

References