The Employment Consequences of Anti-Dumping Tariffs: Lessons from Brazil
FRB of Chicago Working Paper No. 46, 2022
HKU Jockey Club Enterprise Sustainability Global Research Institute - Archive
128 Pages Posted: 13 Oct 2022 Last revised: 2 Apr 2025
There are 3 versions of this paper
The Employment Consequences of Anti-Dumping Tariffs: Lessons from Brazil
The Employment Consequences of Anti-Dumping Tariffs: Lessons from Brazil
The Employment Consequences of Anti-Dumping Tariffs: Lessons from Brazil
Date Written: April 01, 2024
Abstract
How do import tariffs affect employment? We develop an empirical strategy to identify the effects of tariffs using difference-in-differences, comparing anti-dumping (AD) investigations resulting in dumping tariffs to those not resulting in dumping tariffs. We find that an AD tariff decreases imports and increases employment in the protected sector. Moreover, downstream firms decrease employment, while upstream ones are unaffected because the protected sector sources inputs abroad. Using a model to quantify the aggregate effects, we find that the Brazilian AD policy increased employment by 0.06% at a welfare loss of 2.4%.
Keywords: employment, tariffs, anti-dumping, international trade JEL Codes: F13, F16
JEL Classification: F13, F16
Suggested Citation: Suggested Citation