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Adjusting to Trade Policy: Evidence from U.S. Antidumping Duties on Vietnamese Catfish

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  • Irene Brambilla

    (Universidad de La Plata)

  • Guido Porto

    (Universidad de La Plata)

  • Alessandro Tarozzi

    (Universitat Pompeu Fabra)

Abstract

In 2003, after claims of dumping, the United States imposed heavy tariffs on Vietnamese catfish, which led to a collapse of imports. We use panel data to explore household responses in the catfish-producing Mekong delta between 2002 and 2004 and find that income growth was significantly slower among households relatively more involved in catfish farming in 2002. This is explained by a relative decline in both catfish income and revenues from other miscellaneous farm activities. Labor supply did not adjust, most likely because of off-farm employment limitations. Households more exposed to the shock reduced the share of investment assigned to catfish while substituting into agriculture. © 2011 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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  • Irene Brambilla & Guido Porto & Alessandro Tarozzi, 2012. "Adjusting to Trade Policy: Evidence from U.S. Antidumping Duties on Vietnamese Catfish," The Review of Economics and Statistics, MIT Press, vol. 94(1), pages 304-319, February.
    • Handle: RePEc:tpr:restat:v:94:y:2012:i:1:p:304-319
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    Cited by:

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    3. Karin Mayr-Dorn & Gaia Narciso & Duc Anh Dang & Hien Phan, 2023. "Trade diversion and labor market adjustment: Vietnam and the U.S.-China trade war," Economics working papers 2023-04, Department of Economics, Johannes Kepler University Linz, Austria.
    4. Thao, Chu Minh, 2018. "The Transformation Of Vietnamese Trade Policy," OSF Preprints 7qdnt, Center for Open Science.
    5. Nathan Nunn, 2019. "Rethinking economic development," Canadian Journal of Economics, Canadian Economics Association, vol. 52(4), pages 1349-1373, November.
    6. Heath, Rachel & Mushfiq Mobarak, A., 2015. "Manufacturing growth and the lives of Bangladeshi women," Journal of Development Economics, Elsevier, vol. 115(C), pages 1-15.
    7. Nguyen, Ly & Gao, Zhifeng & Anderson, James L., 2022. "Regulating menu information: What do consumers care and not care about at casual and fine dining restaurants for seafood consumption?," Food Policy, Elsevier, vol. 110(C).
    8. McLaren, John & Yoo, Myunghwan, 2017. "FDI and inequality in Vietnam: An approach with census data," Journal of Asian Economics, Elsevier, vol. 48(C), pages 134-147.
    9. L. Alan Winters & Antonio Martuscelli, 2014. "Trade Liberalization and Poverty: What Have We Learned in a Decade?," Annual Review of Resource Economics, Annual Reviews, vol. 6(1), pages 493-512, October.
    10. Nguyen, Ly & Gao, Zhifeng & Anderson, James L. & House, Lisa A., 2022. "The Impacts of Covid-19 on Consumers’ Willingness to Pay for Information Transparency at Casual and Fine Dining Restaurants," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322463, Agricultural and Applied Economics Association.
    11. Ardelean, Adina & Lugovskyy, Volodymyr, 2019. "Tariffs, product quality, and the relative prices of durables: Evidence from 1989 to 2009 U.S. microdata," European Economic Review, Elsevier, vol. 114(C), pages 54-75.
    12. Álvarez, Roberto & García-Marín, Álvaro & Ilabaca, Sebastián, 2021. "Commodity price shocks and poverty reduction in Chile," Resources Policy, Elsevier, vol. 70(C).
    13. Brian McCaig & Nina Pavcnik, 2018. "Export Markets and Labor Allocation in a Low-Income Country," American Economic Review, American Economic Association, vol. 108(7), pages 1899-1941, July.
    14. Bombardini, Matilde & Li, Bingjing, 2020. "Trade, pollution and mortality in China," Journal of International Economics, Elsevier, vol. 125(C).
    15. Brian McCaig & Nina Pavcnik, 2021. "Entry and Exit of Informal Firms and Development," IMF Economic Review, Palgrave Macmillan;International Monetary Fund, vol. 69(3), pages 540-575, September.
    16. Stefan Kühn & Christian Viegelahn, 2017. "Foreign trade barriers and jobs in global supply chains," Working Papers 1705, Council on Economic Policies.
    17. Antonio Martuscelli & Michael Gasiorek, 2019. "Regional Integration And Poverty: A Review Of The Transmission Channels And The Evidence," Journal of Economic Surveys, Wiley Blackwell, vol. 33(2), pages 431-457, April.
    18. Poole, Jennifer & Santos-Paulino, Amelia & Sokolova, Maria & DiCaprio, Alisa, 2017. "The Impact of Trade and Technology on Skills in Viet Nam," ADBI Working Papers 770, Asian Development Bank Institute.
    19. Raluca Dragusanu & Eduardo Montero & Nathan Nunn, 2022. "The Effects of Fair Trade Certification: Evidence from Coffee Producers in Costa Rica," Journal of the European Economic Association, European Economic Association, vol. 20(4), pages 1743-1790.
    20. Chandra, Piyush & Long, Cheryl, 2013. "Anti-dumping Duties and their Impact on Exporters: Firm Level Evidence from China," World Development, Elsevier, vol. 51(C), pages 169-186.
    21. Naylor, Rosamond & Fang, Safari & Fanzo, Jessica, 2023. "A global view of aquaculture policy," Food Policy, Elsevier, vol. 116(C).
    22. Bown, Chad & Porto, Guido, 2010. "Exporters in Developing Countries: Adjustment to Foreign Market Access after a Trade Policy Shock," Papers 88, World Trade Institute.
    23. Chen, Xuan & Scuderi, Ben, 2016. "Assessing the Market Integration of Domestic and Imported Catfish in the U.S," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235550, Agricultural and Applied Economics Association.
    24. Stefan KÜHN & Christian VIEGELAHN, 2019. "Foreign trade barriers and jobs in global supply chains," International Labour Review, International Labour Organization, vol. 158(1), pages 137-167, March.

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    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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