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A gravity analysis of the adverse effects of U.S. sanctions and their after-life

Ekstam, Anna LU (2018) NEKN01 20181
Department of Economics
Abstract (Swedish)
Sanctions have become a frequently used tool of political interactions around the globe, and the U.S. is he leading countries when it comes to imposing economic sanctions. While the intention of economic sanctions is to put pressure on the target to alter its behaviour, research has shown that economic sanctions can have negative effects even on the sender country. Utilising a difference-in-differences approach in a gravity framework, we find evidence of adverse effects of multilateral sanctions on U.S. exports but rather inconclusive results for sanctions in large. As a second estimation focus, we investigate whether the adverse effects linger after the sanctions haven been terminated. That is, do sanctions continue to dampen U.S. exports... (More)
Sanctions have become a frequently used tool of political interactions around the globe, and the U.S. is he leading countries when it comes to imposing economic sanctions. While the intention of economic sanctions is to put pressure on the target to alter its behaviour, research has shown that economic sanctions can have negative effects even on the sender country. Utilising a difference-in-differences approach in a gravity framework, we find evidence of adverse effects of multilateral sanctions on U.S. exports but rather inconclusive results for sanctions in large. As a second estimation focus, we investigate whether the adverse effects linger after the sanctions haven been terminated. That is, do sanctions continue to dampen U.S. exports even after they have been lifted? Our results indicate lingering adverse effects of sanctions and multilateral sanctions up to six years after they have been terminated. (Less)
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author
Ekstam, Anna LU
supervisor
organization
course
NEKN01 20181
year
type
H1 - Master's Degree (One Year)
subject
keywords
U.S., economic sanctions, gravity model, adverse effects, after-life
language
English
id
8948132
date added to LUP
2018-07-03 14:20:25
date last changed
2018-07-03 14:20:25
@misc{8948132,
  abstract     = {Sanctions have become a frequently used tool of political interactions around the globe, and the U.S. is he leading countries when it comes to imposing economic sanctions. While the intention of economic sanctions is to put pressure on the target to alter its behaviour, research has shown that economic sanctions can have negative effects even on the sender country. Utilising a difference-in-differences approach in a gravity framework, we find evidence of adverse effects of multilateral sanctions on U.S. exports but rather inconclusive results for sanctions in large. As a second estimation focus, we investigate whether the adverse effects linger after the sanctions haven been terminated. That is, do sanctions continue to dampen U.S. exports even after they have been lifted? Our results indicate lingering adverse effects of sanctions and multilateral sanctions up to six years after they have been terminated.},
  author       = {Ekstam, Anna},
  keyword      = {U.S.,economic sanctions,gravity model,adverse effects,after-life},
  language     = {eng},
  note         = {Student Paper},
  title        = {A gravity analysis of the adverse effects of U.S. sanctions and their after-life},
  year         = {2018},
}