期刊名称:CORE Discussion Papers / Center for Operations Research and Econometrics (UCL), Louvain
出版年度:2007
卷号:1
出版社:Center for Operations Research and Econometrics (UCL), Louvain
摘要:We analyze the relationship between Antidumping (AD) Protection and the productivity of
EU domestic firms in import-competing industries. For this purpose we identify a panel of
domestic firms between 1993 and 2003 that at some point during this period are affected by
AD initiations. Using a difference-in-difference approach, we find that AD measures result
in improvements of measured productivity for domestic firms. Total Factor Productivity
(TFP) of protected firms increases by 2% in the short-run and by 5% to 13% in the longrun.
However, there is substantial heterogeneity across firms. The effect of protection
depends on the initial ¡°distance-to-the-frontier firm¡± in the industry. While protection raises
TFP of ¡°laggard¡± domestic firms, it lowers TFP for ¡°efficient¡± firms that operate close to
the efficiency frontier. These results are consistent with recent theoretical work supporting
the view that trade policy, under certain conditions, can induce technological catching-up.
While this paper evaluates the effectiveness of AD policy it does not engage in a welfare
analysis.