National Sentiment and Consumer Choice: The Iraq War and Sales of US Products in Arab Countries

Sofronis Clerides, Peter Davis () and Antonis Michis

Working Paper series from Rimini Centre for Economic Analysis

Abstract: Did the rise in anti-American sentiment caused by the Iraq war affect sales of US goods abroad? We address this question using data on soft drink and fabric detergent sales in nine Arab countries. We find a statistically significant negative impact of the war on sales of US soft drinks in seven countries. The impact dissipates after a few months in two countries but persists in the other five. In the case of detergents we only find a significant negative impact in one country. We conclude that international politics can sometimes affect consumer behavior and impact market outcomes.

Keywords: consumer choice; consumer boycotts; Iraq war (search for similar items in EconPapers)
JEL-codes: D01 D12 L66 (search for similar items in EconPapers)
Date: 2013-07
New Economics Papers: this item is included in nep-ara
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Citations: View citations in EconPapers (5)

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Journal Article: National Sentiment and Consumer Choice: The Iraq War and Sales of US Products in Arab Countries (2015)
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Persistent link: https://EconPapers.repec.org/RePEc:rim:rimwps:41_13

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