Import Competition and U.S. Sentiment Toward China

Rabah Arezki, Ha Nguyen, Duong Trung Le () and Hieu Nguyen
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Duong Trung Le: World Bank Group

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Abstract: We empirically examine how import competition affects sentiment toward China in local communities in the United States using a news-based index for sentiment. Results are threefold. First; U.S. sentiment toward China peaked in 2007 before turning negative. Second; communities more exposed to import competition from China have experienced a greater deterioration in sentiment. Third; the trade-induced U.S. sentiment toward China is broad-based; encompassing political; military; and national security issues. These findings suggest that competition over trade may have important geopolitical implications through sentiment of local communities.

Keywords: Import competition; Sentiment; Fragmentation (search for similar items in EconPapers)
Date: 2024-04-10
Note: View the original document on HAL open archive server: https://cnrs.hal.science/hal-04546270v1
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Working Paper: Import Competition and U.S. Sentiment Toward China (2024)
Working Paper: Import Competition and U.S. Sentiment Toward China (2024)
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