Abstract

http://ssrn.com/abstract=897985
 
 

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Import Price Pressure on Firm Productivity and Employment: The Case of US Textiles


Patrick J. Conway


University of North Carolina (UNC) at Chapel Hill - Department of Economics

March 2006

Center for Economic Studies, US Bureau of the Census Working Paper No. CES-WP-06-09

Abstract:     
Theoretical research has predicted three different effects of increased import competition on plant-level behavior: reduced domestic production and sales, improving average efficiency of plants, and increased exit of marginal firms. I use detailed plant-level information available in the US Census of Manufacturers and the Annual Survey of Manufacturers for the period 1983-2001 to decompose these effects. I derive the relative contribution of technology and import competition to the increase in productivity and the decline in employment in textiles production in the US in recent years. I then simulate the impact of removal of quota protection on the scale of operation of the average plant and the incentive to plant closure.

Number of Pages in PDF File: 61

Keywords: import competition, productivity, downsizing, plant closure

JEL Classification: F12, F13, F14

working papers series


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Date posted: April 25, 2006  

Suggested Citation

Conway, Patrick J., Import Price Pressure on Firm Productivity and Employment: The Case of US Textiles (March 2006). Center for Economic Studies, US Bureau of the Census Working Paper No. CES-WP-06-09. Available at SSRN: http://ssrn.com/abstract=897985 or http://dx.doi.org/10.2139/ssrn.897985

Contact Information

Patrick J. Conway (Contact Author)
University of North Carolina (UNC) at Chapel Hill - Department of Economics ( email )
Chapel Hill, NC 27599
United States
919-966-2383 (Phone)
919-966-4986 (Fax)
HOME PAGE: http://www.unc.edu/home/pconway
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