AbstractThis is a model of predatory dumping that relies upon a capital market imperfection and an asymmetry in financial resources that favors the foreign firm. The capital market imperfection may prevent the home firm from issuing debt to defend itself against predation. The asymmetry in financial resources may enable the foreign firm to use foreign market profits to underwrite predation. In contrast to cyclical dumping models, predation occurs when foreign demand is high. A home antidumping law incompletely insulates the home firm from predatory dumping. The home antidumping law, however, tends to make predation correspond to cyclical dumping's characteristics.
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Bibliographic InfoArticle provided by Canadian Economics Association in its journal Canadian Journal of Economics.
Volume (Year): 29 (1996)
Issue (Month): 1 (February)
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Postal: Canadian Economics Association Prof. Steven Ambler, Secretary-Treasurer c/o Olivier Lebert, CEA/CJE/CPP Office C.P. 35006, 1221 Fleury Est Montréal, Québec, Canada H2C 3K4
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- Crowley, Meredith A., 2006.
"Do safeguard tariffs and antidumping duties open or close technology gaps?,"
Journal of International Economics,
Elsevier, vol. 68(2), pages 469-484, March.
- Meredith A. Crowley, 2002. "Do safeguard tariffs and antidumping duties open or close technology gaps?," Working Paper Series WP-02-13, Federal Reserve Bank of Chicago.
- Gasmi, Farid & Malin, Eric & Tandé, François, 2004. "Lobbying in Antidumping," IDEI Working Papers 320, Institut d'Économie Industrielle (IDEI), Toulouse.
- James Gaisford & Shan (Victor) Jiang & Stefan Lutz, 2010.
"Are antidumping duties an antidote for predation?,"
The School of Economics Discussion Paper Series
1013, Economics, The University of Manchester.
- Meredith Crowley, 2007. "Cyclical dumping and U.S. antidumping protection: 1980-2001," Working Paper Series WP-07-21, Federal Reserve Bank of Chicago.
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