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U.S. Import Supply Behavior: Evidence from the 1980s

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  • Catherine Carey

    (Western Kentucky University)

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    Abstract

    Import supply has received insufficient attention in previous empirical studies of trade behavior. This study proposes an alternative way of estimating import supply and demand functions. Using 2SLS and disaggregated panel data more information from the supply side of international trade is incorporated into the model. The results raise questions about the relevance of the assumption of infinite import supply elasticities. While rising relative (foreign to U.S.) wages dampen import growth, increasing foreign investment by U.S. competitors increases U.S. imports.

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    File URL: http://college.holycross.edu/RePEc/eej/Archive/Volume23/V23N2P139_149.pdf
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    Bibliographic Info

    Article provided by Eastern Economic Association in its journal Eastern Economic Journal.

    Volume (Year): 23 (1997)
    Issue (Month): 2 (Spring)
    Pages: 139-149

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    Handle: RePEc:eej:eeconj:v:23:y:1997:i:2:p:139-149

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    Postal: c/o Dr. Alexandre Olbrecht, The Anisfield School of Business 205, Ramapo College, 505 Ramapo Valley Road, Ramapo, New Jersey 07430, USA
    Phone: (201) 684-7346
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    Web page: http://www.ramapo.edu/eea/journal.html
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    Related research

    Keywords: Import; International Trade; Trade;

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    Cited by:
    1. Hasnat, Baban, 2002. "The impact of core labour standards on exports," International Business Review, Elsevier, vol. 11(5), pages 563-575, October.
    2. Zimmerman, Paul R. & Carlson, Julie A., 2012. "Critical import supply elasticities and the ‘imports-as-market-discipline’ hypothesis," Journal of Economic Behavior & Organization, Elsevier, vol. 84(1), pages 345-354.
    3. Taylor, Christopher T., 2004. "The economic effects of withdrawn antidumping investigations: is there evidence of collusive settlements?," Journal of International Economics, Elsevier, vol. 62(2), pages 295-312, March.

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