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The effect of tariff reductions on firm size and firm turnover in canadian manufacturing

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  • Wulong Gu

    ()

  • Gary Sawchuk
  • Lori Rennison

Abstract

This paper examines substantial productivity gains in Canadian manufacturing resulting from tariff reductions from the Canada-U.S. Free Trade Agreement.

(This abstract was borrowed from another version of this item.)

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File URL: http://hdl.handle.net/10.1007/BF02659670
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Bibliographic Info

Article provided by Springer in its journal Review of World Economics.

Volume (Year): 139 (2003)
Issue (Month): 3 (September)
Pages: 440-459

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Handle: RePEc:spr:weltar:v:139:y:2003:i:3:p:440-459

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Related research

Keywords: Free trade; exit; productivity;

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References

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  1. Head, Keith & Ries, John, 1999. "Rationalization effects of tariff reductions," Journal of International Economics, Elsevier, vol. 47(2), pages 295-320, April.
  2. Mark J. Roberts & James R. Tybout, 1991. "Size Rationalization and Trade Exposure in Developing Countries," NBER Chapters, in: Empirical Studies of Commercial Policy, pages 169-200 National Bureau of Economic Research, Inc.
  3. Eugene Beaulieu, 2000. "The Canada-U.S. Free Trade Agreement and labour market adjustment in Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 33(2), pages 540-563, May.
  4. Marc J. Melitz, 2003. "The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity," Econometrica, Econometric Society, vol. 71(6), pages 1695-1725, November.
  5. Daniel Trefler, 2004. "The Long and Short of the Canada-U. S. Free Trade Agreement," American Economic Review, American Economic Association, vol. 94(4), pages 870-895, September.
  6. John R. Baldwin & Wulong Gu, 2006. "Plant turnover and productivity growth in Canadian manufacturing," Industrial and Corporate Change, Oxford University Press, vol. 15(3), pages 417-465, June.
  7. Tybout, James & de Melo, Jamie & Corbo, Vittorio, 1991. "The effects of trade reforms on scale and technical efficiency : New evidence from Chile," Journal of International Economics, Elsevier, vol. 31(3-4), pages 231-250, November.
  8. Richard Harris, 1983. "Applied General Equilibrium Analysis of Small Open Economies with Scale Economies and Imperfect Competition," Working Papers 524, Queen's University, Department of Economics.
  9. Noel Gaston & Daniel Trefler, 1994. "Protection, trade, and wages: Evidence from U.S. manufacturing," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 47(4), pages 574-593, July.
  10. Francisco Alcalá & Antonio Ciccone, 2004. "Trade and Productivity," The Quarterly Journal of Economics, MIT Press, vol. 119(2), pages 612-645, May.
  11. James R. Tybout, 2001. "Plant- and Firm-Level Evidence on "New" Trade Theories," NBER Working Papers 8418, National Bureau of Economic Research, Inc.
  12. Baldwin, John R. & Bian, Lin & Dupuy, Richard & Gellatly, Guy, 2000. "Failure Rates for New Canadian Firms: New Perspectives on Entry and Exit," Failure Rates for New Canadian Firms: New Perspectives on Entry and Exit, Statistics Canada, Economic Analysis, number stcb5e, December.
  13. Andrew B Bernard & Jonathan Eaton & J. Bradford Jensen & Samuel Kortum, 2000. "Plants and productivity in international trade," Working Papers 00-08, Center for Economic Studies, U.S. Census Bureau.
  14. Beckstead, Desmond & Baldwin, John R. & Girard, Andree, 2002. "The Importance of Entry to Canadian Manufacturing with an Appendix on Measurement Issues," Analytical Studies Branch Research Paper Series 2002189e, Statistics Canada, Analytical Studies Branch.
  15. Baldwin,John R. & Gorecki,Paul With contributions by-Name:Caves,Richard E., 1995. "The Dynamics of Industrial Competition," Cambridge Books, Cambridge University Press, number 9780521465618.
  16. Tybout, James R. & Westbrook, M. Daniel, 1995. "Trade liberalization and the dimensions of efficiency change in Mexican manufacturing industries," Journal of International Economics, Elsevier, vol. 39(1-2), pages 53-78, August.
  17. Cox, David & Harris, Richard, 1985. "Trade Liberalization and Industrial Organization: Some Estimates for Canada," Journal of Political Economy, University of Chicago Press, vol. 93(1), pages 115-45, February.
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Citations

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Cited by:
  1. James Markusen & Frank Stähler, 2011. "Endogenous market structure and foreign market entry," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 147(2), pages 195-215, June.
  2. Azam Chaudhry & Marjan Nasir & Maryiam Haroon, 2012. "The Birth of Exporters: Entry and Scale of Firms in Punjab’s Export Sectors," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 17(Special E), pages 191-212, September.
  3. John Baldwin & Beiling Yan, 2011. "The death of Canadian manufacturing plants: heterogeneous responses to changes in tariffs and real exchange rates," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 147(1), pages 131-167, April.
  4. Holger Breinlich, 2006. "Trade Liberalization and Industrial Restructuring through Mergers and Acquisitions," Economics Discussion Papers 619, University of Essex, Department of Economics.
  5. Alla Lileeva, 2008. "Trade liberalization and productivity dynamics: evidence from Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 41(2), pages 360-390, May.
  6. Marjan Nasir, 2014. "The Effect of Trade Liberalization on Firm Entry and Exit in Punjab, Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 19(1), pages 67-89, Jan-June.
  7. Bombarda, Pamela & McCann, Fergal & Toubal, Farid, 2010. "Import Competition and Exit in Business Services Sectors," CEPR Discussion Papers 8095, C.E.P.R. Discussion Papers.
  8. Baggs, Jennifer, 2004. "Changing Trade Barriers and Canadian Firms: Survival and Exit After the Canada-U.S. Free Trade Agreement," Analytical Studies Branch Research Paper Series 2004205e, Statistics Canada, Analytical Studies Branch.
  9. Jen Baggs & James A Brander, 2006. "Trade liberalization, profitability, and financial leverage," Journal of International Business Studies, Palgrave Macmillan, vol. 37(2), pages 196-211, March.
  10. Lileeva, Alla, 2008. "Dynamique de la liberalisation des echanges et de la productivite : un eclairage canadien," Serie de documents de recherche sur l'analyse economique (AE) 2008051f, Statistics Canada, Direction des etudes analytiques.
  11. Baggs, Jennifer & Brander, James A., 2005. "Liberalisation des echanges, rentabilite et levier financier," Direction des etudes analytiques : documents de recherche 2005256f, Statistics Canada, Direction des etudes analytiques.
  12. Aldaba, Rafaelita M., 2012. "Surviving Trade Liberalization in Philippine Manufacturing," Discussion Papers DP 2012-10, Philippine Institute for Development Studies.

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