Revisiting Procedure and Precedent in the WTO: An Analysis of US Countervailing and Anti-Dumping Measures (China)

Beshkar, Mostafa; Chilton, Adam S.

doi:10.2139/ssrn.2682571

Cited by 3 publications

(2 citation statements)

References 13 publications

(7 reference statements)

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“…In 2016, for example, 20 per cent of China’s overall GDP was contributed by exports of goods and services (World Bank, 2018). On the other hand, almost all of the major importing countries have imposed or started to impose more strict and countervailing trading rules (Beshkar and Chilton, 2016; Bown, 2017). Like individual firms, each country has heterogenous and path-dependent competitive advantages as explicated in the resource-based (Barney, 2001) and comparative advantage views (Maneschi, 1998; Porter, 1998).…”

Section: Introductionmentioning

confidence: 99%

Government subsidies, state ownership, regulatory infrastructure, and the import of strategic resources

Gao

Liu

Wang

2018

MBR

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Purpose Although there has been much research on government support for export in China and other emerging economies, considerably less attention has been given to government subsidy-related importing activity in China. This study aims to propose that the government subsidies as the source of financial resources produce a significant increase of imports, as the firms are more likely to engage actively in importing technology-related products which are conducive for China’s future innovation. However, state ownership in firms negatively moderates this relationship and holds back technology imports. Improved formal regulatory institutions do not help to improve but rather weaken this relationship. Design/methodology/approach To investigate how government policy affects imports of strategic resources in China, all of the listed firms on Chinese stock markets (from 2008 to 2014) have been selected, the firms that are engaged in exporting and importing activities. The data from the China Stock Market & Accounting Research database have been selected and merged with those of the General Administration Customs in China. A panel analysis has been done with several robustiness tests. Findings First, the study indicates that government subsidies are a driving force for the development of importing activities. Second, it finds conflicts of interests between government subsidies and state ownership of a firm, as increased ownership will weaken and even negate the positive effect of a government policy, thus negatively affecting the national competitiveness in the long run. Third, it is important to take into account the issue on different levels of institutional development, even allowing for the fact that a nationwide government policy is applied to the firms located in all corners of the country. Research limitations/implications The authors suggested a regional difference in regulatory development but did not find the proposed direction. In their future study, the authors will validate and generalize this intriguing substitutional effect. They expect the results will help the government to ensure that it can fulfill a policy (e.g. regulation) down to every gross-roots organization so the development of regulatory infrastructure will help the firm to obtain and accumulate strategic resources through increased imports of them. Another direction of their future study will explore how government policy will prompt the firms to increase their spending so that they can possess plenty of “stamina” for their future development. Practical implications Different levels of institutional development exist in China even allowing for the fact that a nationwide government policy should be applied to all firms within the territory. This certainly has impacts on technology imports and thus creates difficulties for firms located in the western parts of China about which the government is particularly concerned. The government needs to ensure that its policies (laws and regulations) can be fulfilled down to every gross-roots organization so that the development of regulatory infrastructure can be inclusive and pervasive, given its influence on technology importation and indigenization. Originality/value Both of the theoretical and empirical work centered on policy initiatives and particularly government subsidies in emerging economies that significantly influence imports of strategic resources, a means with which the firm is better able to maintain and develop its competitive advantages, particularly in an economy with institutional void. Relatedly, the results on a causal relationship help envision a transcending trajectory of China’s economy, suggesting that businesspeople should capitalize on the policy advantage so that they are better able to sustain their long-term development. The results also present implications for policymakers to encourage and support strategic move toward such import endeavors.

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Section: Introductionmentioning

confidence: 99%

Government subsidies, state ownership, regulatory infrastructure, and the import of strategic resources

Gao

Liu

Wang

2018

MBR

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“…Moreover, as Beshkar and Chilton have argued, conferring binding force on Appellate Body reports could raise substantive systematic costs. 140 For example, WTO Members might rush to bring cases, or at least participate as third parties, in a bid to shape the jurisprudence through litigation. 141 Wrong judicial precedents might perpetuate over time as the consensus requirement makes it difficult for the legislative branch to correct them.…”

Section: Wto Follows Stare Decisismentioning

confidence: 99%

DictumonDicta:Obiter Dictain WTO Disputes

Gao

2018

World Trade Review

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This paper discusses an important legal issue raised by the United States in its recent attempt to block the reappointment of an Appellate Body member. According to the US, in some of his decisions, the member has made overreaching findings that amount to obiter dicta. As obiter dictum is a unique concept in the Common Law system, the US argument may only stand if the concept may be found in the WTO legal system as well. With a careful analysis of the concept of dicta in Common Law and a close examination of the effects of past panel and Appellate Body decisions in WTO dispute settlement, the paper rejects the US argument by refuting each of the three premises of the US argument, i.e., the WTO legal system based on Common Law; WTO follows stare decisis; and the WTO has rules against dicta. In addition to original contributions on the nature of the WTO dispute settlement system in theory, the article also provides some practical advice on how the controversy may be resolved.

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Legitimacy and Cooperation: Will Immigrants Cooperate with Local Police Who Enforce Federal Immigration Law?

Cox

Miles

2015

SSRN Journal

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Solving crimes often requires community cooperation. Cooperation is thought by many scholars to depend critically on whether community members believe that law enforcement institutions are legitimate and trustworthy. Yet establishing an empirical link between legitimacy and cooperation has proven elusive, with most studies relying on surveys or lab experiments of people's beliefs and attitudes, rather than on their behavior in the real world. This Article aims to overcome these shortcomings, capitalizing on a unique natural policy experiment to directly address a fundamental question about legitimacy, cooperation, and law enforcement success: do de-legitimating policy interventions actually undermine community cooperation with the police? The policy experiment is a massive federal immigration enforcement program called Secure Communities. Secure Communities was widely criticized for undermining the legitimacy of local police in the eyes of immigrants, and it was rolled out nationwide over a four-year period in a way that approximates a natural experiment. Using the rate at which police solve crimes as a proxy for community cooperation, we find no evidence that the program reduced community cooperation-despite its massive size and broad scope. The results call into question optimistic claims that discrete policy interventions can, in the short run, meaningfully affect community perceptions of law enforcement legitimacy in ways that shape community cooperation with police.

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Revisiting Procedure and Precedent in the WTO: An Analysis of US Countervailing and Anti-Dumping Measures (China)

Cited by 3 publications

References 13 publications

Government subsidies, state ownership, regulatory infrastructure, and the import of strategic resources

Government subsidies, state ownership, regulatory infrastructure, and the import of strategic resources

DictumonDicta:Obiter Dictain WTO Disputes

Legitimacy and Cooperation: Will Immigrants Cooperate with Local Police Who Enforce Federal Immigration Law?

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