Link: DONATIONS IMPROVED ODDS OF AVOIDING TRUMP TARIFFS


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Posted by Dr.J on November 26, 2024 at 11:21:52

In Reply to: Link? posted by DCfan on November 26, 2024 at 10:49:05

This took me at least 5 seconds to Google.

Here you go TuckerFan:

Public companies whose executives donated to Republican candidates had a higher chance of winning exclusions from President-elect Donald Trump’s first-term tariffs on China, while those that gave to Democrats saw their odds fall, according to a study into thousands of applications for relief.

Companies filed more than 50,000 applications for exemptions after Trump began announcing duties on imports from China in 2018 with the process requiring them to file separate requests for each individual product for review by officials at the Office of the US Trade Representative.

The research was led by Veljko Fotak, a finance professor at the University of Buffalo School of Management. He and three co-authors pored through government records, campaign finance reports and corporate filings to study the more than 7,000 temporary tariff exclusion applications filed by public companies. And when they zeroed in on the 1,022 applications that succeeded, they found that companies which donated to Republican candidates had higher odds of winning exemptions.

Overall, public companies applying for exemptions from Trump’s first China tariffs had a 14.6% rate of success, the researchers found. But just $35,000 in donations to Republican candidates by a company’s political action committee and executives boosted those odds by 3.9 percentage points, Fotak said. That effectively improved the odds of winning an exclusion from roughly one in seven to one in five.

Success delivered a meaningful return. Altogether it meant an extra $57 billion in market capitalization for the firms that succeeded, the researchers calculated for the study, which was peer-reviewed and is due to be published in a forthcoming issue of The Journal of Financial and Quantitative Analysis.

According to the research, donations to Democrats hurt the chances of firms applying for exemptions during the Trump administration. A contribution of just $4,000 reduced the likelihood of success by 3.4 percentage points, Fotak said. That worsened the odds of success down to just under one in 10.

The study does not identify individual companies. It also does not allege any wrongdoing by either companies or US officials.

Another link: DONATIONS IMPROVED ODDS OF AVOIDING TRUMP TARIFFS


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