How Does Trade Respond to Anticipated Tariff Changes? Evidence from NAFTA
Firms anticipate upcoming tariff changes by shifting their purchases to periods with lower costs. This paper shows that such anticipatory dynamics overstate the trade elasticity. Standard identification of the trade response to trade cost changes u...
| Main Authors: | , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2021
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/377051619701752842/How-Does-Trade-Respond-to-Anticipated-Tariff-Changes-Evidence-from-NAFTA http://hdl.handle.net/10986/35534 |