Rent seekers in the U.S. international trade commission escape clause investigations

Stefanie Ann Lenway, Kathleen Rehbein

Research output: Contribution to journalArticlepeer-review

5 Scopus citations

Abstract

This article addresses the question of the political and economic characteristics of firms that are active in filing escape clause petitions. Filing an escape clause petition is considered to be a part of a political rent seeking strategy of a firm. The sample consists of publicly traded firms in industries in which escape clause petitions were filed 75-1986. The results of a logit analysis suggest that firms active in the petitioning process tend to be profitable and dependent on the petitioned product We also find tentative support that these firms are in concentrated industries and have Washington offices. These results raise some questions about the utility of the escape clause in providing aid for those firms that it is intended to help.

Original languageEnglish (US)
Pages (from-to)119-142
Number of pages24
JournalInternational Trade Journal
Volume4
Issue number2
DOIs
StatePublished - Jan 1 1989

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