Advanced Search
MyIDEAS: Login to save this article or follow this journal

Government Spending and Public Support for Trade in the OECD: An Empirical Test of the Embedded Liberalism Thesis

Contents:

Author Info

  • Hays, Jude C.
  • Ehrlich, Sean D.
  • Peinhardt, Clint
Registered author(s):

    Abstract

    According to the embedded liberalism thesis, governments committed to free trade provide insurance and other transfers to compensate those who lose economically from expanded trade. The goal of this spending is to maintain public support for trade liberalization. We provide a micro-level test of the critical assumption behind the embedded liberalism thesis that government programs designed to protect individuals harmed by imports reduce opposition to free trade. Our micro results have important implications for the macro relationship between trade and government spending, which we also test. We find empirical support for the embedded liberalism thesis in both our micro- and macro-level analyses.Earlier versions of this article were presented at the Midwest Political Science Association s 2002 Meeting and at the University of Illinois during summer 2003. We thank the respective panel and seminar participants for their feedback. In addition, we want to acknowledge valuable comments from William Bernhard, Rebecca Blank, Kerwin Charles, Alan Deardorff, John DiNardo, John Freeman, Brian Gaines, Jim Granato, Nathan Jensen, William Keech, Layna Mosley, Robert Pahre, Ken Scheve, Marina Whitman, two anonymous reviewers, and Lisa Martin. They, of course, are not responsible for any errors.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://journals.cambridge.org/abstract_S0020818305050150
    File Function: link to article abstract page
    Download Restriction: no

    Bibliographic Info

    Article provided by Cambridge University Press in its journal International Organization.

    Volume (Year): 59 (2005)
    Issue (Month): 02 (April)
    Pages: 473-494

    as in new window
    Handle: RePEc:cup:intorg:v:59:y:2005:i:02:p:473-494_05

    Contact details of provider:
    Postal: The Edinburgh Building, Shaftesbury Road, Cambridge CB2 2RU UK
    Fax: +44 (0)1223 325150
    Web page: http://journals.cambridge.org/jid_INOProvider-Email:journals@cambridge.org

    Related research

    Keywords:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Anna Maria Mayda & Kevin H. O'Rourke & Richard Sinnott, 2007. "Risk, Government and Globalization: International Survey Evidence," NBER Working Papers 13037, National Bureau of Economic Research, Inc.
    2. Xiaobo Lü & Kenneth F. Scheve & Matthew J. Slaughter, 2010. "Envy, Altruism, and the International Distribution of Trade Protection," NBER Working Papers 15700, National Bureau of Economic Research, Inc.
    3. Brian Burgoon & Panicos Demetriades & Geoffrey Underhill, 2008. "Financial Liberalisation and Political Variables: a response to Abiad and Mody," Discussion Papers in Economics 08/30, Department of Economics, University of Leicester.
    4. Maria Franco & Carlos Scartascini & Mariano Tommasi, 2014. "State Capacity and the Quality of Policies: Revisiting the Relationship between Openness and the Size of Government," IDB Publications 86254, Inter-American Development Bank.
    5. Tim Büthe, 2008. "Politics and institutions in the regulation of global capital: A review article," The Review of International Organizations, Springer, vol. 3(2), pages 207-220, June.
    6. Brian Burgoon & Panicos O. Demetriades & Geoffrey R.D. Underhill, 2011. "Sources and Legitimacy of Financial Liberalization," Discussion Papers in Economics 11/45, Department of Economics, University of Leicester.
    7. Brian Burgoon, 2011. "GINI DP 14: Inequality and anti-globalization backlash by political parties," GINI Discussion Papers 14, AIAS, Amsterdam Institute for Advanced Labour Studies.
    8. Francesca Gastaldi & Paolo Liberati, 2011. "Economic integration and government size: a review of the empirical literature," Financial Theory and Practice, Institute of Public Finance, vol. 35(3), pages 327-384.
    9. Zareh Asatryan & Sebastian Braun & Wolfgang Lechthaler & Mariya Mileva & Catia Montagna, 2014. "Compensating the losers of free trade," WWWforEurope Working Papers series 63, WWWforEurope.
    10. Obinger, Herbert & Starke, Peter, 2014. "Welfare state transformation: Convergence and the rise of the supply side model," TranState Working Papers 180, University of Bremen, Collaborative Research Center 597: Transformations of the State.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:cup:intorg:v:59:y:2005:i:02:p:473-494_05. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Keith Waters).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.