DP3981 Business Cycles, the Current Account and Administered Protection in Mexico
Author(s): | Joseph Francois, Gunnar Niels |
Publication Date: | July 2003 |
Keyword(s): | |
JEL(s): | F10, F13 |
Programme Areas: | International Trade and Regional Economics |
Link to this Page: | cepr.org/active/publications/discussion_papers/dp.php?dpno=3981 |
Antidumping actions in the United States and EU are known to be linked to macroeconomic conditions. In part, this is because positive injury findings may be easier to make in a downturn. We explore the evidence for Mexico, one of the main ?new? antidumping-using countries. Injury determination is also critical in Mexico?s antidumping policy, as a majority of unsuccessful complaints have been rejected because of negative injury findings rather than negative findings of dumping. Working with data from 1987 through 2000, we provide evidence for a relationship between macro-economic factors and antidumping complaints, including current account and exchange rate movements, and both local and global general macroeconomic conditions.