Market Access for Sale: Latin America's Lobbying for US Tariff Preferences
AbstractThis Paper assesses the foreign lobbying forces behind the tariff preferences that the United States grants to Latin American countries. The basic framework is one developed by Grossman and Helpman (1994) that is extended to explain the relationship between foreign lobbying and tariff preferences. Results suggest that returns to Latin American exporters lobbying for tariff preferences in the United States are above 50%. The reason for these large returns is the relatively low estimated weight given to social welfare in the US government’s objective function when deciding whether or not to grant tariff preferences to LAC exporters.
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Bibliographic InfoPaper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 4077.
Date of creation: Oct 2003
Date of revision:
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Other versions of this item:
- Kee, Hiau Looi & Olarreaga, Marcelo & Silva, Peri, 2004. "Market access for sale : Latin America's lobbying for U.S. tariff preferences," Policy Research Working Paper Series 3198, The World Bank.
- F10 - International Economics - - Trade - - - General
- F11 - International Economics - - Trade - - - Neoclassical Models of Trade
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-02-29 (All new papers)
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