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That reduced the average tariff rate to just 1.3percentt.
But the average tariff underestimates the actual level of protection.
Many sectors are: the average tariff on goods imports was only 5.1% in 1997.
In America, for instance, the average tariff on industrial goods is 4%.
Today the average tariff on U.S. imports is a meager3percentnt — down from 20percentt in 1940.
Under the Smoot-Hawley Tariff Act (1930), the average tariff on imported goods was raised by roughly 20 percent.
Similar(19)
The average tariffs applied to Canadian exports by other TPP members in 2014 are given below.
But today's $150 barrel oil realities imply tariffs of 11%, harkening back to the average tariffs of the 1970s.
But the average tariffs imposed among WTO countries with no special agreements is 9%, a heavy burden in a free-trade world.
The weighted average tariff rates present a different picture than do the simple averages.
Specification (1) uses the import-weighted average tariff as the trade policy variable, specification (2) uses the import penetration rate as the trade volume measure, specification (3) uses export intensity, specification (4) uses the trade openness index, and specification (5) uses the industry penetration index.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com