Title: Are US imports really hurting US households?: an analysis of the relationship between US households' consumption and US imports

Authors: Florence Bouvet; Chong-Uk Kim

Addresses: Department of Economics, Sonoma State University, 1801 E. Cotati Avenue, Rohnert Park, CA 94928, USA ' Department of Economics, Sonoma State University, 1801 E. Cotati Avenue, Rohnert Park, CA 94928, USA

Abstract: This paper seeks evidence of the relationship between US households' consumption and imports, notably imports from China. Using MSA-level data from the consumer expenditure survey from 1986 to 2007, we find that in general imports, and especially those from China, are positively related with households' consumption. A one-percentage point increase in the size of imports relative to GDP increases consumption (total and non-durable goods consumption) by 2%. This positive relationship is stronger for imports from China.

Keywords: US imports; household consumption; USA; United States; China.

DOI: 10.1504/GBER.2014.060184

Global Business and Economics Review, 2014 Vol.16 No.2, pp.157 - 178

Available online: 31 Mar 2014

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