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The Spread of Antidumping Regimes and the Role of Retaliation in Filings

  • Robert M. Feinberg

    ()

    (American University and U.S. International Trade Commission, Department of Economics)

  • Kara M. Reynolds

    ()

    (American University, Department of Economics)

Over the past decade, the worldwide use of antidumping has become very widespread—41 WTO-member countries initiated antidumping cases over the 1995–2003 period. From another perspective, U.S. exporters were subjected to 139 antidumping cases during this period, by enforcement agencies representing 20 countries. In this context, it is natural to consider whether antidumping filings may be motivated as retaliation against similar measures imposed on a country's exporters. This is the focus of our study, though we also control for the bilateral export flows involved and nonretaliatory impacts of past cases, with other motivations—macroeconomic, industry-specific, and political considerations—dealt with through fixed effects. Applying probit analysis to a WTO database on reported filings, we find strong evidence that retaliation was a significant motive in explaining the rise of antidumping filings over the past decade, though interesting differences emerge in the reactions to traditional and new users of antidumping.

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

Volume (Year): 72 (2006)
Issue (Month): 4 (April)
Pages: 877–890

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Handle: RePEc:sej:ancoec:v:72:4:y:2006:p:877-890
Contact details of provider: Web page: http://www.southerneconomic.org/

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  1. Bruce A. Blonigen & Thomas J. Prusa, 2001. "Antidumping," NBER Working Papers 8398, National Bureau of Economic Research, Inc.
  2. Maurizio Zanardi, 2004. "Anti-dumping: What are the Numbers to Discuss at Doha?," The World Economy, Wiley Blackwell, vol. 27(3), pages 403-433, 03.
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  4. Blonigen, Bruce A. & Bown, Chad P., 2003. "Antidumping and retaliation threats," Journal of International Economics, Elsevier, vol. 60(2), pages 249-273, August.
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  6. Thomas J. Prusa, 1999. "On the spread and impact of antidumping," Departmental Working Papers 199916, Rutgers University, Department of Economics.
  7. Aggarwal, Aradhna, 2004. "Macro Economic Determinants of Antidumping: A Comparative Analysis of Developed and Developing Countries," World Development, Elsevier, vol. 32(6), pages 1043-1057, June.
  8. James Brander & Paul Krugman, 1980. "A "Reciprocal Dumping" Model of International Trade," Working Papers 405, Queen's University, Department of Economics.
  9. Prusa, Thomas J., 1992. "Why are so many antidumping petitions withdrawn?," Journal of International Economics, Elsevier, vol. 33(1-2), pages 1-20, August.
  10. J. M. Finger, 1981. "The Industry-Country Incidence of "Less than Fair Value" Cases in US Import Trade," NBER Chapters, in: Export Diversification and the New Protectionism: The Experience of Latin America, pages 260-279 National Bureau of Economic Research, Inc.
  11. Thomas J. Prusa & Susan Skeath, 2001. "The Economic and Strategic Motives for Antidumping Filings," NBER Working Papers 8424, National Bureau of Economic Research, Inc.
  12. Chad Bown & Meredith Crowley, 2003. "Trade deflection and trade depression," Working Paper Series WP-03-26, Federal Reserve Bank of Chicago.
  13. Feinberg, Robert M. & Hirsch, Barry T., 1989. "Industry rent seeking and the filing of unfair trade complaints," International Journal of Industrial Organization, Elsevier, vol. 7(3), pages 325-340.
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