TESTING THE THEORY OF TRADE POLICY: EVIDENCE FROM THE ABRUPT END OF THE MULTIFIBER ARRANGEMENT

• 成果类型: Article
• 署名作者: Harrigan, James; Barrows, Geoffrey
• 署名单位: University of Virginia; University of California System; University of California Berkeley
• 刊物名称: REVIEW OF ECONOMICS AND STATISTICS
• ISSN/ISSBN: 0034-6535
• DOI: 10.1162/rest.91.2.282
• 发表日期: 2009-05
• 页码: 282-294
• 关键词: quality

摘要

Quota restrictions on United States imports of apparel and textiles under the multifiber arrangement (MFA) ended abruptly in January 2005. This change in policy was large, predetermined, and fully anticipated, making it an ideal natural experiment for testing the theory of trade policy. Prices of quota-constrained categories from China fell by 38% in 2005, with smaller declines from other exporters. Prices in unconstrained categories from all countries changed little. We also find substantial quality downgrading in imports from China in previously constrained categories. The annual cost of the MFA to U. S. consumers was $63 per household.