OECD Trade Policy Papers
This series is designed to make available to a wider readership selected trade policy studies prepared for use within the OECD.
NB. No. 1 to No. 139 were released under the previous series title OECD Trade Policy Working Papers.
- ISSN: 18166873 (online)
- https://doi.org/10.1787/18166873
Modal Estimates of Services Barriers
This paper presents improved approaches to measurement of services barriers by using alternative
weighting methods and improved econometric specifications; the data include barriers affecting each mode
of services supply and additional sector-specific regulatory variables. We provide an illustration of these
improvements for banking, insurance, telecom (fixed and mobile), professional (engineering) and
distribution services in selected countries in Africa, Asia, Central and Eastern Europe, Latin America and
the Middle East. We report sector-specific restrictiveness indices at aggregate and modal levels along with
aggregate and modal tax equivalents. We also provide confidence intervals for each estimated tax
equivalent to take into account the limitations in the estimation techniques. Indeed these limitations lead us
to argue against a strict interpretation of the empirical results and in favor of a more flexible, qualitative
interpretation, combined with rank ordering of countries for indicative purposes.
Keywords: insurance, tax equivalent, banking, services barriers/restrictions, regulatory measures, engineering, telecommunications, trade restrictiveness index, distribution
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