The Smoot-Hawley Tariff: A Quantitative Assessment / Douglas A. Irwin.

Format:

Book

Author/Creator:

Irwin, Douglas A.

Contributor:

National Bureau of Economic Research.

Series:

Working Paper Series (National Bureau of Economic Research) no. w5509.

NBER working paper series no. w5509

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

The Smoot-Hawley Tariff

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1996.

Summary:

In the two years after the imposition of the Smoot-Hawley tariff in June 1930, the volume of U.S. imports fell over 40 percent. To what extent can this collapse of trade be attributed to the tariff itself versus other factors such as declining income or foreign retaliation? Partial and general equilibrium assessments indicate that the Smoot-Hawley tariff itself reduced imports by 4-8 percent (ceteris paribus), although the combination of specific duties and deflation further raised the effective tariff and reduced imports an additional 8-10 percent. A counter-factual simulation suggests that nearly a quarter of the observed 40 percent decline in imports can be attributed to the rise in the effective tariff, (i.e., Smoot-Hawley plus deflation).

Notes:

Print version record

March 1996.