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Risk, Government andd Globalization: International Survey Evidence

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Author Info
Anna Maria Mayda
Kevin H. O'Rourke

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Abstract

This paper uses international survey data to document two stylized facts. First, risk aversion is associated with anti-trade attitudes. Second, this effect is smaller in countries with greater levels of government expenditure. The paper thus provides evidence for the microeconomic underpinnings of the argument associated with Ruggie (1982), Rodrik (1998) and others that government spending can bolster support for globalization by reducing the risk associated with it in the minds of voters.

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Paper provided by IIIS in its series The Institute for International Integration Studies Discussion Paper Series with number iiisdp218.

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Date of creation: 04 Apr 2007
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Handle: RePEc:iis:dispap:iiisdp218

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Keywords: Trade attitudes; risk;

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This paper has been announced in the following NEP Reports: References listed on IDEAS
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.:
  1. Hainmueller, Jens & Hiscox, Michael J., 2006. "Learning to Love Globalization: Education and Individual Attitudes Toward International Trade," International Organization, Cambridge University Press, vol. 60(02), pages 469-498, April. [Downloadable!]
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  2. Facchini, Giovanni & Mayda, Anna Maria, 2006. "Individual Attitudes Towards Immigrants: Welfare-State Determinants Across Countries," CEPR Discussion Papers 5702, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  3. Alberto Alesina & Eliana La Ferrara, 2001. "Preferences for Redistribution in the Land of Opportunities," Harvard Institute of Economic Research Working Papers 1936, Harvard - Institute of Economic Research. [Downloadable!]
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  4. Christian Dustmann & Ian Preston, 2004. "Is Immigration Good or Bad for the Economy? Analysis of Attitudinal Responses," CReAM Discussion Paper Series 0406, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
  5. Hays, Jude C. & Ehrlich, Sean D. & Peinhardt, Clint, 2005. "Government Spending and Public Support for Trade in the OECD: An Empirical Test of the Embedded Liberalism Thesis," International Organization, Cambridge University Press, vol. 59(02), pages 473-494, April. [Downloadable!]
  6. Gordon H. Hanson & Kenneth F. Scheve & Matthew Slaughter, 2005. "Public Finance and Individual Preferences over Globalization Strategies," NBER Working Papers 11028, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  7. Scheve, Kenneth F. & Slaughter, Matthew J., 2001. "What determines individual trade-policy preferences?," Journal of International Economics, Elsevier, vol. 54(2), pages 267-292, August. [Downloadable!] (restricted)
  8. Dani Rodrik, 1998. "Why Do More Open Economies Have Bigger Governments?," Journal of Political Economy, University of Chicago Press, vol. 106(5), pages 997-1032, October. [Downloadable!] (restricted)
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  9. James E. Rauch & Vitor Trindade, 2002. "Ethnic Chinese Networks In International Trade," The Review of Economics and Statistics, MIT Press, vol. 84(1), pages 116-130, February. [Downloadable!] (restricted)
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  10. Anna Maria Mayda & Dani Rodrik, 2001. "Why Are Some People (and Countries) More Protectionist Than Others?," NBER Working Papers 8461, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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Cited by:
(explanations, 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.)

  1. Bertola, Giuseppe, 2009. "Inequality, Integration, and Policy: Issues and evidence from EMU," CEPR Discussion Papers 7251, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  2. Bertola, Giuseppe, 2007. "Finance and Welfare States in Globalizing Markets," CEPR Discussion Papers 6480, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  3. Naci Canpolat & Hüseyin Ozel, 2008. "Evolutionary Dynamics of Globalization," Working Papers 2008/16, Turkish Economic Association. [Downloadable!]
  4. Anna Maria Mayda, 2006. "Why are people more pro-trade than pro-migration?," CReAM Discussion Paper Series 0611, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
    Other versions:
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