GTAP Resources: Resource Display
| GTAP Resource #4797 |
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"Estimating the Macroeconomic Impacts of U.S. Anti-Dumping Enforcement" by Rose, Adam, Zhenhua Chen, Dan Wei and Fynn Prager Abstract “Dumping” refers to the unfair trade practice of a foreign firm selling its goods in the US at a price below its domestic price or below production cost plus markup. These price/cost bases are referred to as “fair trade value”, and the difference between them and the selling price is referred to as the “dumping margin.” U.S. firms who conclude they are being adversely affected by dumping can file a petition with the U.S. Department of Commerce (DOC) and the U.S. International Trade Commission (ITC). If the petition is upheld, a duty is imposed on the buyer of the foreign shipment (Czako et al., 2003). The benefits of AD are the prevented negative consequences had the dumping actually occurred. In this study, we examine a more specific case: What are the benefits of enforcement to prevent evasion of AD regulations? This can be further refined to asking what additional enforcement success takes place with one additional unit of effort, such as a customs officer or a specific technology? Our analysis thus will consist of two major parts. First is analyzing the number of evasions detected and linking this to the level of effort and other features of individual cases and background conditions internal and external to government operations. Second is estimating the direct and indirect benefits of these detections. This is performed by analyzing individual markets for commodities that are being dumped to estimate the direct effects, and the using a computable general equilibrium model to estimate the indirect effects. The indirect effects include not only conventional quantity and price multiplier interactions but also aspects of market distortions and strategic behavior. Below, we summarize the methodology to be used to estimate the direct and indirect economic impacts of Anti-Dumping (AD) policies and the metrics to be used. We also summarize the data that will be needed. |
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- Non-Tariff barriers - North America |
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Public Access  GTAP Resource 4797 (321.7 KB) Replicated: 0 time(s)Restricted Access No documents have been attached. Special Instructions No instructions have been specified. |
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Last Modified: 9/15/2023 1:05:45 PM
