Rules of origin in global commerce

The purpose of this three-essay dissertation is to examine the effects of rules of origin (RoO) in preferential trading arrangements (PTAs). The first essay maps out the different types of RoO and RoO regimes used in PTAs around the world, and puts forth a methodology for coding the degree of restrictiveness of product-specific and regime-wide RoO.; The second essay centers on the implications of the choice of the RoO instrument to two other contractual obligations in PTAs---tariff phase-out schedules and product-specific exclusions. I argue that governments use RoO as substitutes for exclusions in PTAs. However, I also posit that RoO are an imperfect substitute for exclusions, which compels sectors with stringent RoO to lobby for prolonged preferential tariff liberalization schedules. I substantiate my argument through an econometric analysis of the EU-Mexico Free Trade Agreement.; Essay three examines the trade effects of product-specific and regime-wide RoO through a modified gravity model that incorporates 155 countries and a hundred PTAs in 1981--2001. It yields four main findings. First, restrictive product-specific RoO stifle trade between PTA members, and can thus undercut PTAs' liberalizing potential. However and second, various regime-wide provisions designed to add leniency to the application of product-specific RoO facilitate trade flows. Third, stringent product-specific RoO in final goods encourage trade in intermediate goods between PTA members, and may, as such, risk trade diversion in intermediates. Fourth, exporters' ability to comply with demanding product-specific RoO and to take advantage of permissive regime-wide RoO improves over time: "RoO learning" gradually reduces "RoO interference".; The introduction of this dissertation motivates the three essays. The conclusion discusses the evolution of the global RoO panorama, and provides policy recommendations for countering RoO's negative effects on trade.