Determinants of shrimp importation into the USA: an application of an augmented gravity model

Chenyi He, Kwamena Quagrainie and H. Holly Wang

Journal of Chinese Economic and Business Studies, 2013, vol. 11, issue 3, 219-228

Abstract: Shrimp farmers in the USA are facing the situation of increased imports resulting in reduced market share, falling prices, and reduced profitability for their farm-raised shrimp. The study examined the determinants of shrimp imports from China, Vietnam, Thailand, and Indonesia using an augmented gravity model of international trade. The results reveal that US imports from the four exporting countries are significantly affected by the GDP of exporting countries, GDP of the USA, exchange rate, unit import value (proxy for import price) of shrimp, and tariff. Tariff policy has implications for the US shrimp industry.

Date: 2013
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DOI: 10.1080/14765284.2013.814466

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