Research on Chinese Antidumping Duties-jumping ODI
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| Title | Research on Chinese Antidumping Duties-jumping ODI
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| Author | Li Meng and Yu Jinping |
| Organization | School of Economics,Nanjing Univercity；School of International Economics,Guizhou University of Finance and Economics |
| Email | limeng_wzy@163.com；yujp@nju.edu.cn |
| Key Words | Antidumping Duties-jumping; ODI; Enterprise Behavior |
| Abstract | Through using Stakelberg model and a pooled cross-section time-series annual data, we study the effects of China antidumping duties-jumping ODI when the host country take antidumping measures. It is shown that antidumping duties-jumping ODI occurs if Chinese firm’s fixed cost is lower than the critical level of fixed costs that induces a switch from export to ODI under duties. Chinese firm’s outward investment can be more profitable than free trade. Our empirical results indicate the exit of China antidumping duties-jumping ODI. An additional effect is found that antidumping duties, which arise from the rising of host country’s unemployment rate, have a more positive effect on ODI. |
| Serial Number | WP271 |
| Time | 2012-06-12 |
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