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Did China Tire Safeguard Save U.S. Workers?

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Listed:
  • Sunghoon Chung

    (Southern Methodist University)

  • Joonhyung Lee

    (The University of Memphis)

  • Thomas Osang

    (Southern Methodist University)

Abstract

This paper estimates how discriminatory tariffs on certain Chinese tires impact the U.S. import patterns as well as domestic tire industry. We find that although tariffs significantly reduced subject tire imports from China, the reduction was completely offset by increased imports from other countries. We further show that the U.S. tire industry had no gains in employment and wages from the protective policy.

Suggested Citation

  • Sunghoon Chung & Joonhyung Lee & Thomas Osang, 2012. "Did China Tire Safeguard Save U.S. Workers?," Departmental Working Papers 1205, Southern Methodist University, Department of Economics.
    • Handle: RePEc:smu:ecowpa:1205
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    Cited by:

    1. Takechi, Kazutaka, 2020. "Do domestic producers benefit from safeguards? The case of a Japanese safeguard on Chinese vegetable imports in 2001," Japan and the World Economy, Elsevier, vol. 55(C).
    2. Sébastien Jean & Ariell Reshef, 2017. "Why Trade, and What Would Be the Consequences of Protectionism?," CEPII Policy Brief 2017-18, CEPII research center.
    3. TAKECHI Kazutaka, 2019. "Do Domestic Producers Benefit from Safeguards? The Case of a Japanese Safeguard on Chinese Vegetable Imports in 2001," Discussion papers 19057, Research Institute of Economy, Trade and Industry (RIETI).
    4. Hu, Arthur & Hu, Xingwei & Tong, Hui, 2022. "Globalization? Trade war? A counterbalance perspective," MPRA Paper 114871, University Library of Munich, Germany.
    5. Ahn,Jaebin & Choi,Jaerim & Chung,Sunghoon, 2022. "Labor Market Rigidity at Home and Multinational Corporations’ Flexible Task Reallocation Abroad," Policy Research Working Paper Series 10114, The World Bank.
    6. Alcover, M. & Crowley, M. A., 2019. "China -- Broiler Products: Can the sum of the parts be less than the whole?," Cambridge Working Papers in Economics 1985, Faculty of Economics, University of Cambridge.
    7. Samuel Verevis & Murat Üngör, 2021. "What has New Zealand gained from The FTA with China?: Two counterfactual analyses†," Scottish Journal of Political Economy, Scottish Economic Society, vol. 68(1), pages 20-50, February.
    8. Ganserer, Angelika & Gregory, Terry & Zierahn, Ulrich, 2022. "Minimum wages and the rise in solo self-employment," ZEW Discussion Papers 22-024, ZEW - Leibniz Centre for European Economic Research.
    9. Bo Xiong, 2017. "The implications of US punitive tariffs on Chinese tires for rubber exports from South-East Asia," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 22(4), pages 575-586, October.

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    More about this item

    Keywords

    China Safeguard; Trade Destuction; Trade Diversion; Random Growth Model; Synthetic Control Method.;
    All these keywords.

    JEL classification:

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

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