Date Added: Mar 2011
The purpose of this paper is to evaluate the short-run effect of the tariffs on Chinese tires imposed by the US in September 2009. First, the authors investigated whether the tariffs were beneficial to the US domestic tire industry in terms of employment. The empirical analysis found that there were no significant benefits to US employment in the tire industry. This result led them to the next question: Who benefited from the tariffs? They found that the tire imports to the US were significantly deviated from China to other countries such as Thailand and Korea.