Integrated Tariff Analysis System (ITAS)

Economic Modelling Input

This module provides a framework for translating initial and final applied tariffs into a suitable format for input into an economic model (that might be used to estimate trade responses or welfare effects). Such a model allows analysts to examine flow-on effects of tariff reductions. One such model is GTAP. (i)

In the current implementation, the economic modelling input module aggregates the final data to match the region and product classifications used in GTAP. Changes in these trade-weighted average applied rates are then available for use as input (shocks) for GTAP simulations. A range of 'shock' files is supplied as part of the selected output. Shocks are provided for each of the ten scenarios. The first five scenarios use the Girard formula. The second five scenarios use the Chinese and Swiss formulas.

Trade-weighted initial and final tariffs aggregated to match GTAP country and commodity classifications

Value share of industrial commodity in GTAP commodity

(i) GTAP is used as an example of a model that includes demand responses to reductions in applied tariffs. GTAP is not included as part of ITAS. It is not required to run or to conduct analysis using ITAS.