Essays in international trade
- This dissertation consists of three chapters, studying causes and effects of trade policy. The first two chapters study a policy that was imposed on an economy from the outside - a blockade, while the third deals with policies which are self imposed. In the first chapter, I use detailed household expenditure and price data to study the welfare consequences of the blockade imposed on the Gaza Strip between 2007 and 2010. Using the West Bank as a counterfactual, I find that being removed from world markets reduced welfare by 17%-28% on average. Moreover, households with larger pre-blockade expenditure levels experienced disproportionally larger welfare losses. The second chapter uses firm level data to study the effects of the blockade on domestic production in Gaza. I find that the blockade triggered reallocation of workers across firms and sectors, especially from manufacturing to services, and from industries that use imported inputs intensively, or export. In addition, labor productivity fell sharply by 24%. This decline was however significantly higher in manufacturing (39%) than in services (5%). These findings suggest that access to world markets did not only determine the location of the Gaza economy on a given Production Possibility Frontier, but also determined the shape of this PPF. The third and last chapter deals with the the effects of Preferential Trade Agreements (PTAs) on the level of protectionism that member countries use against non members of their PTA. Using data on the use of Anti-dumping Duties by the U.S. before and after the implementation of the North American Free Trade Agreement (NAFTA), I find that American industries that were exposed to imports from Mexico became much more likely to receive protection in the form of AD duties relative to industries that were not exposed to imports from Mexico. I interpret these findings as evidence supporting the "protection diversion" hypothesis, according to which countries that enter PTAs will become more aggressive in using protection measures against non-members.
|Type of resource
|electronic; electronic resource; remote
|1 online resource.
|Stanford University, Department of Economics.
|Statement of responsibility
|Submitted to the Department of Economics.
|Thesis (Ph.D.)--Stanford University, 2013.
- © 2013 by Assaf Zimring
- This work is licensed under a Creative Commons Attribution Non Commercial 3.0 Unported license (CC BY-NC).
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