Journal Article

Antidumping, Retaliation Threats, and Export Prices

Veysel Avsar

in The World Bank Economic Review

Volume 27, issue 1, pages 133-148
Published in print February 2013 | ISSN: 0258-6770
Published online April 2012 | e-ISSN: 1564-698X | DOI: http://dx.doi.org/10.1093/wber/lhs010
Antidumping, Retaliation Threats, and Export Prices

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Utilizing four-dimensional (firm-product-destination-year) Brazilian firm-level export data, we show that antidumping (AD) duties result in a significant and dramatic increase in the unit values of the products that firms export to duty-imposing countries. Furthermore, we examine the effect of potential (retaliatory) AD duties on the unit price of the firms' shipments. Our findings suggest that AD activities in Brazil lead Brazilian exporting firms to increase their unit export prices for the named industries' products to decrease the dumping margin and avoid the threat of retaliation by the target countries.

Keywords: F10; F13; O54; C23

Journal Article.  5412 words.  Illustrated.

Subjects: International Trade ; Economywide Country Studies ; Single Equation Models; Single Variables

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