TY  - JOUR
AU  - Blonigen,Bruce
AU  - Liebman,Benjamin H.
AU  - Pierce,Justin R.
AU  - Wilson,Wesley W.
TI  - Are All Trade Protection Policies Created Equal?  Empirical Evidence for Nonequivalent Market Power Effects of Tariffs and Quotas
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 16391
PY  - 2010
Y2  - September 2010
UR  - http://www.nber.org/papers/w16391
L1  - http://www.nber.org/papers/w16391.pdf
N1  - Author contact info:
Bruce Blonigen
Department of Economics
1285 University of Oregon
Eugene, OR 97403-1285
Tel: 541/346-4680
Fax: 541/346-1243
E-Mail: bruceb@uoregon.edu

Benjamin H. Liebman
Department of Economics
Saint Joseph's University
5600 City Avenue
Philadelphia, PA 19131-1395
E-Mail: bliebman@sju.edu

Justin R. Pierce
Federal Reserve Board
20th and C ST NW
Washington, DC 20551
Tel: 202-452-2981
Fax: 202-736-1937
E-Mail: justin.r.pierce@frb.gov

Wesley Wilson
Department of Economics
1285 University of Oregon
Eugene, OR 97403-1285
E-Mail: wwilson@uoregon.edu
AB  - Over the past decades, the steel industry has been protected by a wide variety of trade policies, both tariff- and quota-based.  We exploit this extensive heterogeneity in trade protection to examine the well-established theoretical literature predicting nonequivalent effects of tariffs and quotas on domestic firms’ market power. Robust to a variety of empirical specifications with U.S. Census data on the population of U.S. steel plants from 1967-2002, we find evidence for significant market power effects for binding quota-based protection, but not for tariff-based protection.  There is only weak evidence that antidumping protection increases market power.
ER  -