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Interaction Effects in Probit Models, Reinterpreting the Impact of Education on Attitudes Towards Immigrants and Free-Trade

Author

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  • Natalia Melgar

    (Universidad de la República)

Abstract

Economic literature has examined the impact of education and factors endowment on individual preferences towards free-trade and immigration by focusing on the sign of an interaction term between the educational level and the Gross Domestic Product per capita. The aim of this paper is to re-examine this issue by employing the new method proposed Ai and Norton (2003). Findings showed that attitudes are not fully in line with the Heckscher-Ohlin model. That is, high educated people in richer countries could be against immigration and free-trade if their overall disposition to these issues is bad

Suggested Citation

  • Natalia Melgar, 2012. "Interaction Effects in Probit Models, Reinterpreting the Impact of Education on Attitudes Towards Immigrants and Free-Trade," Journal of Reviews on Global Economics, Lifescience Global, vol. 1, pages 82-88.
    • Handle: RePEc:lif:jrgelg:v:1:y:2012:p:82-88
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    Cited by:

    1. Ignacio Bartesaghi & Natalia Melgar, 2020. "Trump’s New Trade Tariffs: A Response to Voters’ Demands?," American Journal of Economics and Sociology, Wiley Blackwell, vol. 79(1), pages 245-263, January.

    More about this item

    Keywords

    Immigration; free-trade; globalization; cross-country research; probit models;
    All these keywords.

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade

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