Advanced Search
MyIDEAS: Login to save this paper or follow this series

Trade Liberalization and Antidumping: Is There a Substitution Effect?

Contents:

Author Info

  • Michael Moore
  • Maurizio Zanardi

Abstract

Many nations have undergone significant trade liberalization in the last twenty years even as they have increased their use of contingent protection measures. This raises the question of whether some of the trade liberalization efforts, at times accomplished through painful reforms, have been undone through a substitution from tariffs to nontariff barriers. Among the new forms of protection, antidumping is the most relevant, as its use has spread from few developed countries to a large set of developing countries that are now among the most intense users of this instrument. This paper uses a newly developed database to examine to what extent the use of antidumping in a large set of countries is systematically influenced by the reduction of applied sectoral tariffs. The data set includes information on 29 developing and 7 developed countries from 1991 through 2002. After controlling for time-varying sectoral information as well as macroeconomic conditions, we find evidence of a substitution effect only for heavy users of antidumping among developing countries. In particular, a one standard deviation increase in sectoral trade liberalization increases the probability of observing an antidumping initiation by 32 percent. There is no similar statistically significant result for other developing countries or developed countries. We also find robust evidence of retaliation and deflection effects as determinant of antidumping filings across all subsamples.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: https://dipot.ulb.ac.be/dspace/bitstream/2013/54086/1/RePEc_eca_wpaper_2008_024.pdf
Download Restriction: no

Bibliographic Info

Paper provided by ULB -- Universite Libre de Bruxelles in its series Working Papers ECARES with number 2008_024.

as in new window
Length: 37 p.
Date of creation: 2008
Date of revision:
Publication status: Published by:
Handle: RePEc:eca:wpaper:2008_024

Contact details of provider:
Postal: Av. F.D., Roosevelt, 39, 1050 Bruxelles
Phone: (32 2) 650 30 75
Fax: (32 2) 650 44 75
Web page: http://difusion.ulb.ac.be
More information through EDIRC

Related research

Keywords: Trade Liberalization; Antidumping;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Thomas J. Prusa, 1999. "On the spread and impact of antidumping," Departmental Working Papers 199916, Rutgers University, Department of Economics.
  2. Alessandro Nicita & Marcelo Olarreaga, 2007. "Trade, Production, and Protection Database, 1976--2004," World Bank Economic Review, World Bank Group, vol. 21(1), pages 165-171.
  3. Hylke, VANDENBUSSCHE & Maurizio, ZANARDI, 2006. "The Global Chilling Effects of Antidumping Proliferation," Discussion Papers (ECON - Département des Sciences Economiques) 2006009, Université catholique de Louvain, Département des Sciences Economiques.
  4. Knetter, Michael M. & Prusa, Thomas J., 2003. "Macroeconomic factors and antidumping filings: evidence from four countries," Journal of International Economics, Elsevier, vol. 61(1), pages 1-17, October.
  5. Simon P. Anderson & Nicolas Schmitt, 2000. "Non-Tariff Barriers and Trade Liberalization," Virginia Economics Online Papers 340, University of Virginia, Department of Economics.
  6. Bown, Chad P., 2005. "Global antidumping database version 1.0," Policy Research Working Paper Series 3737, The World Bank.
  7. Bown, Chad P. & Crowley, Meredith A., 2007. "Trade deflection and trade depression," Journal of International Economics, Elsevier, vol. 72(1), pages 176-201, May.
  8. Thomas Prusa & Susan Skeath, 2002. "The economic and strategic motives for antidumping filings," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 138(3), pages 389-413, September.
  9. Carmen M. Reinhart & Kenneth S. Rogoff, 2004. "The Modern History of Exchange Rate Arrangements: A Reinterpretation," The Quarterly Journal of Economics, MIT Press, vol. 119(1), pages 1-48, February.
  10. Robert M. Feinberg & Kara M. Olson, 2005. "Tariff Liberalization and Increased Administrative Protection: Is There a Quid Pro Quo?," International Trade 0501001, EconWPA.
  11. Choi, E. Kwan & Harrigan, James, 2003. "Handbook of International Trade," Staff General Research Papers 11375, Iowa State University, Department of Economics.
  12. Maurizio Zanardi, 2002. "Antidumping: What are the Numbers?," Working Papers 2002_15, Business School - Economics, University of Glasgow.
  13. Joseph Francois & Gunnar Niels, 2003. "Business Cycles, the Current Account, and Administered Protection in Mexico," Tinbergen Institute Discussion Papers 03-054/2, Tinbergen Institute.
  14. Feinberg, Robert M, 1989. "Exchange Rates and "Unfair Trade."," The Review of Economics and Statistics, MIT Press, vol. 71(4), pages 704-07, November.
  15. Bruce A. Blonigen & Chad P. Bown, 2001. "Antidumping and Retaliation Threats," NBER Working Papers 8576, National Bureau of Economic Research, Inc.
  16. Robert M. Feinberg & Kara M. Olson, 2004. "The Spread of Antidumping Regimes and the Role of Retaliation in Filings," International Trade 0411003, EconWPA.
  17. Michael P. Leidy, 1997. "Macroeconomic Conditions and Pressures for Protection under Antidumping and Countervailing Duty Laws: Empirical Evidence from the United States," IMF Staff Papers, Palgrave Macmillan, vol. 44(1), pages 132-144, March.
  18. Chad P. Bown, 2008. "The Wto And Antidumping In Developing Countries," Economics and Politics, Wiley Blackwell, vol. 20(2), pages 255-288, 06.
  19. Douglas Irwin, 2004. "The Rise of U.S. Antidumping Actions in Historical Perspective," NBER Working Papers 10582, National Bureau of Economic Research, Inc.
  20. Bown, Chad P. & Tovar, Patricia, 2011. "Trade liberalization, antidumping, and safeguards: Evidence from India's tariff reform," Journal of Development Economics, Elsevier, vol. 96(1), pages 115-125, September.
  21. Robert M. Feinberg, 2005. "U.S. Antidumping Enforcement and Macroeconomic Indicators Revisited: Do Petitioners Learn?," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 141(4), pages 612-622, December.
  22. Peter Egger & Douglas Nelson, 2011. "How Bad Is Antidumping? Evidence from Panel Data," The Review of Economics and Statistics, MIT Press, vol. 93(4), pages 1374-1390, November.
  23. Bruce A. Blonigen & Thomas J. Prusa, 2001. "Antidumping," NBER Working Papers 8398, National Bureau of Economic Research, Inc.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. KONINGS, Jozef & VANDENBUSSCHE, Hylke, 2009. "Antidumping protection hurts exporters : firm-level evidence from France," CORE Discussion Papers 2009042, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  2. Miyagiwa, Kaz & Song, Huasheng & Vandenbussche, Hylke, 2010. "Innovation, antidumping, and retaliation," CEPR Discussion Papers 7916, C.E.P.R. Discussion Papers.
  3. Hylke Vandenbussche & Maurizio Zanardi, 2010. "The chilling trade effects of antidumping proliferation," ULB Institutional Repository 2013/136355, ULB -- Universite Libre de Bruxelles.
  4. Veysel Avsar, 2010. "Partisanship and Antidumping," Working Papers 1006, Florida International University, Department of Economics.
  5. Tobias D. Ketterer, 2014. "EU Antidumping and Tariff Cuts: Trade Policy Substitution?," Discussion Papers 2014-05, University of Nottingham, GEP.
  6. Veysel Avsar, 2010. "The Anatomy of Trade Deflection," Working Papers 1004, Florida International University, Department of Economics.
  7. Michael O. Moore & Maurizio Zanardi, 2009. "Does antidumping use contribute to trade liberalization in developing countries?," Canadian Journal of Economics, Canadian Economics Association, vol. 42(2), pages 469-495, May.
  8. Michael O. Moore, 2013. "Sanctuary Markets and Antidumping: An Empirical Analysis of U.S. Exporters," Working Papers 2013-3, The George Washington University, Institute for International Economic Policy.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:eca:wpaper:2008_024. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Benoit Pauwels).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.