Protectionism during the crisis: Tic-for-tac or chicken-games?
AbstractDuring the recent financial crisis many countries resorted to protectionist measures to try to boost demand for domestically-produced goods. In this paper we explore the extent to which the adoption of protectionist measures led to retaliation by other countries undermining the increase in demand. We found no evidence of retaliation. On the contrary, there is strong evidence of chicken-games being played. Indeed, the probability of a protectionist measure being imposed on a trading partner’s export bundle is significantly smaller when the partner imposes a protectionist measure on home exports.
Download InfoIf 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.
Bibliographic InfoPaper provided by Institut d'Economie et Econométrie, Université de Genève in its series Research Papers by the Institute of Economics and Econometrics, Geneva School of Economics and Management, University of Geneva with number 12034.
Length: 7 pages
Date of creation: Mar 2012
Date of revision:
Contact details of provider:
Postal: 40 Boulevard du Pont-d'Arve, CH-1211 Geneva 4, Switzerland
Phone: +41 22 379 8263
Fax: +41 22 379 82 93
Web page: http://www.unige.ch/gsem/dsec/index.html
Trade Retaliation; Chicken-games; Financial Crisis.;
Other versions of this item:
- Boffa, Mauro & Olarreaga, Marcelo, 2012. "Protectionism during the crisis: Tit-for-tat or chicken-games?," Economics Letters, Elsevier, vol. 117(3), pages 746-749.
- Boffa, Mauro & Olarreaga, Marcelo, 2012. "Protectionism during the crisis: Tit-for-tat or chicken games?," CEPR Discussion Papers 9119, C.E.P.R. Discussion Papers.
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-10-27 (All new papers)
- NEP-GTH-2012-10-27 (Game Theory)
- NEP-INT-2012-10-27 (International Trade)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jonah B. Gelbach & Doug Miller, 2009.
"Robust Inference with Multi-way Clustering,"
99, University of California, Davis, Department of Economics.
- A. Colin Cameron & Jonah B. Gelbach & Douglas L. Miller & Doug Miller, 2009. "Robust Inference with Multi-way Clustering," Working Papers 98, University of California, Davis, Department of Economics.
- A. Colin Cameron & Jonah B. Gelbach & Douglas L. Miller, 2006. "Robust Inference with Multi-way Clustering," NBER Technical Working Papers 0327, National Bureau of Economic Research, Inc.
- Kee, Hiau Looi & Neagu, Cristina & Nicita, Alessandro, 2010.
"Is protectionism on the rise ? assessing national trade policies during the crisis of 2008,"
Policy Research Working Paper Series
5274, The World Bank.
- Hiau Looi Kee & Cristina Neagu & Alessandro Nicita, 2013. "Is Protectionism on the Rise? Assessing National Trade Policies during the Crisis of 2008," The Review of Economics and Statistics, MIT Press, vol. 95(1), pages 342-346, March.
- Robert W. Staiger & Kyle Bagwell, 1999.
"An Economic Theory of GATT,"
American Economic Review,
American Economic Association, vol. 89(1), pages 215-248, March.
- Giovanni Maggi & Andrés Rodríguez-Clare, 2007.
"A Political-Economy Theory of Trade Agreements,"
American Economic Review,
American Economic Association, vol. 97(4), pages 1374-1406, September.
- Maggi, Giovanni & Rodriguez-Clare, Andres, 2005. "A Political-Economy Theory of Trade Agreements," CEPR Discussion Papers 5321, C.E.P.R. Discussion Papers.
- Giovanni Maggi & Andres Rodriguez-Clare, 2005. "A Political-Economy Theory of Trade Agreements," NBER Working Papers 11716, National Bureau of Economic Research, Inc.
- Douglas A. Irwin, 1998.
"The Smoot-Hawley Tariff: A Quantitative Assessment,"
The Review of Economics and Statistics,
MIT Press, vol. 80(2), pages 326-334, May.
- Douglas A. Irwin, 1996. "The Smoot-Hawley Tariff: A Quantitative Assessment," NBER Working Papers 5509, National Bureau of Economic Research, Inc.
- repec:hal:cesptp:hal-00796708 is not listed on IDEAS
- repec:hal:wpaper:hal-00796708 is not listed on IDEAS
- Georgiadis, Georgios & Gräb, Johannes, 2013. "Growth, real exchange rates and trade protectionism since the financial crisis," Working Paper Series 1618, European Central Bank.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.