News Column

Researchers from Stanford University Report Details of New Studies and Findings in the Area of Social Science

June 6, 2014

By a News Reporter-Staff News Editor at Science Letter -- A new study on Science is now available. According to news reporting out of Palo Alto, California, by NewsRx editors, research stated, "The recent confrontation between China and the United States over currency policy illustrates a broader phenomenon: exchange-rate misalignments tend to spill over into trade policy. Although previous studies have shown that aggregate protectionist activity is positively related to the level of the real effective exchange rate, we explore this relationship at the industry level."

Our news journalists obtained a quote from the research from Stanford University, "Several industry-specific characteristics determine the protectionist response to exchange rate changes, including the degree of exchange-rate pass-through, the level of import penetration, and the share of imported intermediate inputs in total industry inputs. We find that the marginal effect of currency appreciation on the number of industry-level antidumping petitions is positive and significant only for industries with high pass-through."

According to the news editors, the research concluded: "Therefore, exchange rates appear to induce demands for trade barriers only in industries where competitiveness is directly harmed by currency appreciation."

For more information on this research see: Exchange Rates and Industry Demands for Trade Protection. International Organization, 2014;68(2):393-416. International Organization can be contacted at: Cambridge Univ Press, 32 Avenue Of The Americas, New York, NY 10013-2473, USA. (Cambridge University Press -; International Organization -

Our news journalists report that additional information may be obtained by contacting J.L. Broz, Stanford University, Dept. of Polit Sci, Palo Alto, CA 94304, United States (see also Science).

Keywords for this news article include: Science, Palo Alto, California, United States, North and Central America

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Source: Science Letter

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