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Plant-level responses to antidumping duties: evidence from U.S. manufacturers

Justin Pierce

No 2011-40, Finance and Economics Discussion Series from Board of Governors of the Federal Reserve System (U.S.)

Abstract: This paper describes the effects of a temporary increase in tariffs on the performance and behavior of U.S. manufacturers. Using a dataset that includes the full population of U.S. manufacturing plants, I show that an apparent positive correlation between antidumping duties and traditional revenue productivity is likely misleading. For the subset of plants reporting quantity-based output data, increases in prices and markups artificially inflate the effect of antidumping duties on revenue productivity, while physical productivity actually falls. Moreover, antidumping duties allow low-productivity plants to continue producing protected products, slowing the reallocation of resources from less productive to more productive uses.

Keywords: Antidumping duties - United States; Manufacturing industries - United States (search for similar items in EconPapers)
Date: 2011
New Economics Papers: this item is included in nep-bec
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (55)

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http://www.federalreserve.gov/pubs/feds/2011/201140/201140abs.html (text/html)
http://www.federalreserve.gov/pubs/feds/2011/201140/201140pap.pdf (application/pdf)

Related works:
Journal Article: Plant-level responses to antidumping duties: Evidence from U.S. manufacturers (2011) Downloads
Working Paper: Plant-Level Responses to Antidumping Duties: Evidence from U.S. Manufacturers (2011) Downloads
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