Political Ideology and Endogenous Trade Policy: An Empirical Investigation / Pushan Dutt, Devashish Mitra.

Format:

Book

Author/Creator:

Dutt, Pushan.

Contributor:

National Bureau of Economic Research.

Mitra, Devashish.

Series:

Working Paper Series (National Bureau of Economic Research) no. w9239.

NBER working paper series no. w9239

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

Political Ideology and Endogenous Trade Policy

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2002.

Summary:

In this paper, we empirically investigate how government ideology affects trade policy. The prediction of a partisan, ideology-based model (within a two-sector, two-factor Heckscher-Ohlin framework) is that left-wing governments will adopt more protectionist trade policies in capital rich countries, but adopt more pro-trade policies in labor rich economies than right-wing ones. The data strongly support this prediction in a very robust fashion. There is some evidence, that this relationship may hold better in democracies than in dictatorships though the magnitude of the partisan effect seems stronger in dictatorships.

Notes:

Print version record

September 2002.