The Hazardous Effects of Antidumping

22 Pages Posted: 21 Nov 2016

See all articles by Tibor Besedes

Tibor Besedes

Georgia Institute of Technology

Thomas J. Prusa

Rutgers University

Date Written: January 2017

Abstract

We investigate the extent to which antidumping actions eliminate trade altogether. Using quarterly 10‐digit HS‐level export data for products involved in U.S. antidumping cases we find that antidumping actions increase the hazard rate by more than 50%. We find strong evidence of investigation effects with the impact during the initiation and preliminary duty phases considerably larger than once final duties are imposed. There are also important differences with respect to the size of duties with cases with large duties experiencing very large investigation effects. We show the antidumping (AD)‐affected countries are less likely to return to the market even after the AD order is removed.

JEL Classification: F13, F14

Suggested Citation

Besedes, Tibor and Prusa, Thomas J., The Hazardous Effects of Antidumping (January 2017). Economic Inquiry, Vol. 55, Issue 1, pp. 9-30, 2017, Available at SSRN: https://ssrn.com/abstract=2872401 or http://dx.doi.org/10.1111/ecin.12345

Tibor Besedes (Contact Author)

Georgia Institute of Technology ( email )

221 Bobby Dodd Way
Atlanta, GA 30332-0615
United States

Thomas J. Prusa

Rutgers University ( email )

Dept of Economics
75 Hamilton St
New Brunswick, NJ 08901
United States
848-932-8646 (Phone)
732-932-7416 (Fax)

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