scholarly journals Health Effects of Trade Liberalization: Evidence from US Counties

2021 ◽  
Vol 6 (1) ◽  
pp. 71
Author(s):  
Amirhooshang Navaei ◽  
Farhad Farnoud

This paper explores the potential externality of trade liberalization between the US and China on air pollution and infants’ health outcomes. Exploiting the differential impact of tariff reductions due to trade liberalization across industries combined with compositional variations of industry-specific employment across counties as the main source of identification strategy and using the universe of birth records in the US over the years 1990-2017 (over 97 million observations), we document substantial improvements in birth outcomes of mothers residing in counties with higher exposure to trade policy change. The exposed counties experienced sharp drops in employment specifically for manufacturing industries and revealed sharp reductions in a wide array of pollutants. A 1 percent reduction in tariff rates is associated with an 11.5 and 12.7 percentage point reduction in the likelihood of low birth weight and preterm birth, respectively.

2021 ◽  
Vol 8 (1) ◽  
pp. 7-16
Author(s):  
Amirhooshang Navaei ◽  
Farhad Farnoud

This paper explores the potential externality of trade liberalization between the US and China on air pollution and infants’ health outcomes. Exploiting the differential impact of tariff reductions due to trade liberalization across industries combined with compositional variations of industry-specific employment across counties as the main source of identification strategy and using the universe of birth records in the US over the years 1990-2017 (over 97 million observations), we document substantial improvements in birth outcomes of mothers residing in counties with higher exposure to trade policy change. The exposed counties experienced sharp drops in employment specifically for manufacturing industries and revealed sharp reductions in a wide array of pollutants. A 1 percent reduction in tariff rates is associated with an 11.5 and 12.7 percentage point reduction in the likelihood of low birth weight and preterm birth, respectively.


SIASAT ◽  
2021 ◽  
Vol 6 (2) ◽  
pp. 114-119
Author(s):  
Zare Markovic ◽  
Vedad Hodzic ◽  
Hossein Shahri

The Fetal Origin Hypothesis show that the prenatal development period is a critical period for birth outcomes. Applying a panel data fixed effect model and using the universe of birth records in the US, I find that exposure to the holy month Ramadan, during which Muslim mothers fast for the whole day, during prenatal development has negative birth outcomes. Exposure to a full month of fasting is associated with 96 grams lower birth-weight. These results are robust across specifications and do not appear to be driven by mothers’ selective fertility.


2014 ◽  
Vol 68 (2) ◽  
pp. 263-295 ◽  
Author(s):  
Judith Goldstein ◽  
Robert Gulotty

AbstractAmong scholars, delegation of power to the US president in 1934 is widely believed to have been a necessary requisite for tariff reductions in ensuing years. According to conventional wisdom, delegation to the president sheltered Congress from constituent pressure thereby facilitating the opening of the US economy and the emergence of the United States as a world power. This article suggests a revision to our understanding of just how that occurred. Through a close study of the US tariff schedule between 1928 and 1964, focusing on highly protected products, we examine which products were subject to liberalization and at what time. After 1934, delegation led to a change in trade policy, not because Congress gave up their constitutional prerogative in this domain but because presidents were able to target the potential economic dislocation that derives from import competition to avoid the creation of a congressional majority willing to halt the trade agreements program.


2006 ◽  
Vol 96 (3) ◽  
pp. 896-914 ◽  
Author(s):  
Nuno Limão

Most countries are members of preferential trade agreements (PTAs). The effect of these agreements has attracted much interest and raised the question of whether PTAs promote or slow multilateral trade liberalization, i.e., whether they are a “building block” or “stumbling block” to multilateral liberalization. Despite this long-standing concern with PTAs and the lack of theoretical consensus, there is no systematic evidence on whether they are actually a stumbling block to multilateral liberalization. We use detailed data on U.S. multilateral tariffs to provide the first systematic evidence that the direct effect of PTAs was to generate a stumbling block to its MTL. We also provide evidence of reciprocity in multilateral tariff reductions.


2014 ◽  
Vol 37 (1) ◽  
pp. 152-168
Author(s):  
Yinan Liu

Abstract As the importance of tariffs in international trade has declined with the reduction of tariff rates under the GATT/WTO programs of multilateral trade liberalization, most governments prefer to protect domestic industries from foreign competitors through a variety of non-tariff barriers. Antidumping actions have recently become the world's biggest trade impediment due to their specific features and the antidumping activity of new users. Since China has become the major engine of world trade growth in recent years, it also has become the largest anti-dumping target in the world. However, the present world competition situation implies that world trade liberalization might arouse regional trade friction. The objective of this research is to identify whether China's WTO accession changed China's situation with regard to EU antidumping actions. The research analysis empirically proved that trade liberalization could partly affect the EU's antidumping actions against Chinese exports and the higher degree of industrial concentricity becomes a motive to increase the EU's antidumping activities against China.


2021 ◽  
Vol 16 (3) ◽  
pp. 447-469
Author(s):  
Jonathan E. Leightner ◽  

Some Ricardian models would predict a fall in unemployment with trade liberalization. In contrast, the Heckscher-Ohlin model (Stolper Samuelson Theorem) would predict trade liberalization would cause a fall in wages for labor scarce countries, resulting in greater unemployment if there are wage rigidities. The choice of which theoretical model is used affects the empirical results obtained. This paper produces estimates of the change in unemployment due to a change in imports that are not model dependent. The estimates produced are total derivatives that capture all the ways that imports and unemployment are correlated. I find that unemployment increases with increased imports for Austria, Greece, Japan, Portugal, South Korea, Slovenia, and Sweden, but that unemployment decreases with increased imports for Australia, Belgium, Canada, Czech Republic, Denmark, Estonia, Finland, France, Germany, Hungary, Ireland, Israel, Italy, Latvia, the Netherlands, New Zealand, Norway, Poland, Slovakia, Spain, the UK, and the US.


Author(s):  
Christian Freudlsperger

The third chapter of Trade Policy in Multilevel Government introduces the field of procurement as a hard case of trade liberalization. Contracting in line with the principle of ‘best value for money’ curtails public actors’ ability to rely on procurement as a directed means of redistribution. Nevertheless, this principle has served as the rallying cry of an international regime of procurement liberalization that has gradually evolved since the 1970s and whose historical development is described here. In a second step, the chapter elaborates on the patterns of openness and resistance to procurement liberalization among the three multilevel polities chosen for analysis. Over the entire period of observation, the US states’ openness has been comparatively low. Intermittently, their resistance had decreased in the run-up to the 1994 GPA. In recent years, however, the number of states willing to be bound by international procurement disciplines plummeted to virtually zero. As for the Canadian provinces and territories, the picture shifted in recent years. Especially in the negotiations on CETA, they permitted the EU wholesale access to their procurement markets. Within a short period, the Canadian provinces’ position on international procurement liberalization thus witnessed a veritable sea change. Finally, in the EU case, openness on part of member state governments has consistently proved highest among the three cases. Already within the scope of the 1979 GATT Code, all EC members’ central procurement was covered, albeit modestly. In the 1994 GPA and its 2012 revision, the EU covered its procurement on the national, regional, and municipal level.


2015 ◽  
Vol 81 (4) ◽  
pp. 379-408 ◽  
Author(s):  
Michel Beine ◽  
Frédéric Docquier ◽  
Çağlar Özden

Abstract:Migrant networks play an important role in explaining the size and structure of migration flows. They affect the private costs and benefits of migration (assimilation channel) and lower legal entry barriers through family reunification programs (policy channel). This paper presents a micro-founded identification strategy allowing to disentangle the relative importance of these two channels. Our empirical analysis exploits US immigration data by metropolitan area and country of origin. We first find that the elasticity of migration flows to network size is around one. More interestingly, we show that the policy channel accounted at most for a quarter of this elasticity in the 1990s, and the magnitudes of the total network effect and the policy channel are greater for low-skilled migrants. Our results are strongly robust to sample selection, identification assumptions, and treatment for unobserved bilateral heterogeneity. Furthermore, the policy channel was stronger in the 1990s than in the 1980s, possibly reflecting the changes in the US family reunification policies. We conclude that the government capacity to curb the migration multiplier exists, but is limited.


2020 ◽  
pp. 1-46
Author(s):  
Janet Currie ◽  
Michael Mueller-Smith ◽  
Maya Rossin-Slater

We study the effects of prenatal exposure to violent crime on infant health, using New York City crime records linked to mothers' addresses in birth records data. We address endogeneity of assault exposure with three strategies and find that in utero assault exposure significantly increases the incidence of adverse birth outcomes. We calculate that the annual social cost of assault during pregnancy in the US is more than $3.8 billion. Since infant health predicts long-term wellbeing and disadvantaged women are disproportionately likely to be domestic abuse victims, violence in utero may be an important channel for intergenerational transmission of inequality.


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