Elasticity of substitution and anti-dumping decisions

Jørgen Hansen (), Philipp Meinen () and Jørgen Nielsen ()

Review of World Economics (Weltwirtschaftliches Archiv), 2014, vol. 150, issue 4, 787-816

Abstract: Motivated by a monopolistic competition model with market segmentation and international price discrimination, this paper analyzes whether there is an inverse relation between the elasticity of substitution and final ad valorem anti-dumping duties across products. We test this for 19 countries using data on anti-dumping from the Global Antidumping Database and US data at the 6-digit HS product level for the elasticity of substitution from Broda and Weinstein (Q J Econ 121(2):541–585, 2006 ). The results in our empirical investigation support a negative relation between the elasticity of substitution and the final ad valorem anti-dumping duties. Copyright Kiel Institute 2014

Keywords: Anti-dumping; Elasticity of substitution; Dumping margin; Ad valorem duty; Monopolistic competition; F12; F13 (search for similar items in EconPapers)
Date: 2014
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DOI: 10.1007/s10290-014-0198-1

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