Replication data for: Freedom Fries
Principal Investigator(s): View help for Principal Investigator(s) Guy Michaels; Xiaojia Zhi
Version: View help for Version V1
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AEJApp-2009-0180-stata | 10/12/2019 03:11:PM | ||
LICENSE.txt | text/plain | 14.6 KB | 10/12/2019 11:11:AM |
Project Citation:
Michaels, Guy, and Zhi, Xiaojia. Replication data for: Freedom Fries. Nashville, TN: American Economic Association [publisher], 2010. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113758V1
Project Description
Summary:
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Do firms always choose the cheapest suitable inputs, or can group attitudes affect their choices? To investigate this question, we examine the deterioration of relations between the United States and France from 2002-2003, when France's favorability rating in the US fell by 48 percentage points. We estimate that the worsening attitudes reduced bilateral trade by about 9 percent and that trade in inputs
probably declined similarly, by about 8 percent. We use these estimates to calculate the average decrease in firms' willingness to pay for French (or US) commodities when attitudes worsened. (JEL D24, F13, F14, L14, L21)
Scope of Project
JEL Classification:
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D24 Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
F13 Trade Policy; International Trade Organizations
F14 Empirical Studies of Trade
L14 Transactional Relationships; Contracts and Reputation; Networks
L21 Business Objectives of the Firm
D24 Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
F13 Trade Policy; International Trade Organizations
F14 Empirical Studies of Trade
L14 Transactional Relationships; Contracts and Reputation; Networks
L21 Business Objectives of the Firm
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