Kilumelume, Michael; Morando, Bruno; Newman, Carol; … - 2021
An often-neglected potential negative consequence of tariffs is the impact they may have on the misallocation of factor …-productivity firms to survive, thereby leading to a sub-optimal allocation of resources. This paper explores the impact of tariffs on the … allocation of capital using administrative data from South Africa. We find that tariffs are highly correlated with capital …