Replication Data for: The Production Relocation and Price Effects of US Trade Policy: The Case of Washing Machines

Principal Investigator(s): View help for Principal Investigator(s) Aaron Flaaen, Board of Governors of the Federal Reserve System; Ali Hortaçsu, University of Chicago ; Felix Tintelnot, University of Chicago

Version: View help for Version V1

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Project Description

Summary: We estimate the price effect of U.S. import restrictions on washers. The 2012 and 2016 antidumping duties against South Korea and China were accompanied by downward or minor price movements along with production relocation to other export platform countries. With the 2018 tariffs, on nearly all source countries, the price of washers increased nearly 12 percent. Interestingly, the price of dryers—not subject to tariffs—increased by an equivalent amount. Factoring in dryer prices and price increases by domestic brands, the 2018 tariffs on washers imply a tariff elasticity of consumer prices of above one.

Scope of Project

Subject Terms: Tariffs; Washing Machines

JEL Classification:
      F12 Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
      F13 Trade Policy; International Trade Organizations
      F23 Multinational Firms; International Business
      L23 Organization of Production
      L68 Appliances; Furniture; Other Consumer Durables

Geographic Coverage: United States, South Korea, China, Vietnam, Thailand, Mexico, Canada

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Published Versions

V1 [2020-06-26]

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DDI 2.5

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