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By Wesley W. Wilson, B. A. Blonigen, B. Liebman (b and W. W. Wilson

Abstract

Abstract We present and examine a novel data set that contains production line information inside US steel plants. We exploit this highly disaggregated data to perform the first study of entry and exit behavior at the level of the production line within individual plants. Our empirical analysis reveals a number of interesting results. First, smaller production lines are more likely to shut down, as are lines that are owned by larger firms. Younger production lines and lines that have undergone modernization are more likely to survive. Our results indicate that lines that are operated by integrated producers are more likely to exit. We find no evidence, however, that antidumping decreases the likelihood of exit, despite the steel industry’s frequent use of antidumping protection.

Topics: Trade protection · Exit
Publisher: 2013-09-24
Year: 2013
OAI identifier: oai:CiteSeerX.psu:10.1.1.353.4180
Provided by: CiteSeerX
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