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Full Details
Title: The Impact of the Iraq War on US Consumer Goods Sales in Arab Countries
Author(s): Sofronis Clerides, Peter Davis and Antonis Michis
Publication Date: October 2010
Keyword(s): consumer behavior, consumer boycotts and Iraq war
Programme Area(s): Industrial Organization
Abstract: Did the rise in anti-American sentiment caused by the Iraq war affect sales of US goods abroad? We address this question using data on soft drink and fabric detergent sales in nine Arab countries. We find a statistically significant negative impact of the war on sales of US soft drinks in seven countries. The impact dissipates after a few months in two countries but persists in the other five. In the case of detergents we only find a significant negative impact in one country. We conclude that international politics can sometimes affect consumer behavior and impact market outcomes.
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Bibliographic Reference
Clerides, S, Davis, P and Michis, A. 2010. 'The Impact of the Iraq War on US Consumer Goods Sales in Arab Countries'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=8041