Free Riders Among the Rent-Seekers: A Model of Firm Participation in Antidumping Petition

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Free Riders Among the Rent-Seekers: A Model of Firm Participation in Antidumping Petition

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dc.contributor.author Olson, Kara M.
dc.date.accessioned 2009-02-16T19:20:53Z
dc.date.available 2009-02-16T19:20:53Z
dc.date.created 2004-04
dc.date.issued 2004-04
dc.identifier.uri http://hdl.handle.net/1961/4941
dc.description Working Paper No. 200404-01. 36 pages. en
dc.description.abstract This research expands upon the current theoretical literature on the political economy of trade policy by empirically estimating the degree of rent-seeking in the presence of free riding. The results provide strong evidence that the level of trade protection awarded to industries is significantly influenced by political factors, including the number of firms that actively participate in a collective action. However, fewer firms participate in collective actions in industries characterized by either a large number of firms or high concentration levels because the free rider problem becomes more severe. I estimate a model of firm participation in antidumping petitions using a panel of U.S. petition filings and outcomes between 1980 and 1996. After estimating the parameters of the model, I simulate the impact of specific changes in U.S. antidumping law and find that even small changes in the private returns to participating in this rentseeking activity will dramatically change the level of trade protection in the economy. en
dc.description.sponsorship Department of Economics, American University en
dc.language.iso en_US en
dc.publisher Department of Economics, American University en
dc.rights.uri Copyright © 2004 by Kara M. Olson. All rights reserved. Readers may make verbatim copies of this document for non-commercial purposes by any means, provided that this copyright notice appears on all such copies. en
dc.subject.other Antidumping en
dc.subject.other Collective actions en
dc.subject.other Rent-seeking en
dc.subject.other Free riding en
dc.title Free Riders Among the Rent-Seekers: A Model of Firm Participation in Antidumping Petition en
dc.type Working Paper en


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