Reputation and (Un)Fair Trade: Effects on French Importers from the Rana Plaza Collapse

19.11.2019 12:30 – 13:30

GENEVA TRADE AND DEVELOPMENT WORKSHOP / ABSTRACT

This paper studies the effects of an important shock on the reputation of textile importers from Bangladesh. The collapse of the Rana Plaza building in April 2003 generated a surge in activism targeting specifically the firms that were sourcing from the factories affected by the disaster.

Using monthly firm-level import data from French customs, we investigate whether there is any disruption in the sourcing from Bangladesh of denounced firms, compared to other companies and other sourcing origins. We use a triple difference approach and control for common demand and supply determinants.

Our results show a decrease of imported values from Bangladesh consecutive to the shock, for firms whose name was associated to the accident. This relative trade loss occurs within a context of increasing French imports from Bangladesh. Our finding holds for a number of placebos, including artificially changing the affected firms and origin countries.

Lieu

Bâtiment: IHEID

Graduate Institute
Maison de la Paix
Petal 2, Room S4
2 Chemin Eugène-Rigot
1202 Geneva

Organisé par

Faculté d'économie et de management
Institute of Economics and Econometrics

Intervenants

Pamina KOENIG, University of Rouen & Paris School of Economics, France

entrée libre (inscription requise)

Classement

Catégorie: Séminaire

Inscription

Date limite d'inscription: 18.11.2019

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