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Risk, Government and Globalization: International Survey Evidence

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  • Anna Maria Mayda
  • Kevin H. O'Rourke
  • Richard Sinnott

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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Bibliographic Info

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 13037.

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Date of creation: Apr 2007
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Handle: RePEc:nbr:nberwo:13037

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  1. Giovanni Facchini & Anna Maria Mayda, 2006. "Individual Attitudes towards Immigrants: Welfare-State Determinants across Countries," CESifo Working Paper Series, CESifo Group Munich 1768, CESifo Group Munich.
  2. Hanson, Gordon H., 2005. "Why Does Immigration Divide America? Public Finance and Political Opposition to Open Borders," Peterson Institute Press: All Books, Peterson Institute for International Economics, Peterson Institute for International Economics, number 4000, July.
  3. Alberto Alesina & Eliana La Ferrara, 2001. "Preferences for Redistribution in the Land of Opportunities," NBER Working Papers, National Bureau of Economic Research, Inc 8267, National Bureau of Economic Research, Inc.
  4. Scheve, Kenneth F. & Slaughter, Matthew J., 2001. "What determines individual trade-policy preferences?," Journal of International Economics, Elsevier, Elsevier, vol. 54(2), pages 267-292, August.
  5. Jens Hainmueller & Michael J. Hiscox, 2005. "Learning to Love Globalization? Education and Individual Attitudes Toward International Trade," International Trade, EconWPA 0505011, EconWPA.
  6. James E. Rauch & Vitor Trindade, 2002. "Ethnic Chinese Networks In International Trade," The Review of Economics and Statistics, MIT Press, MIT Press, vol. 84(1), pages 116-130, February.
  7. Gordon H. Hanson & Kenneth Scheve & Matthew J. Slaughter, 2007. "Public Finance And Individual Preferences Over Globalization Strategies," Economics and Politics, Wiley Blackwell, Wiley Blackwell, vol. 19(1), pages 1-33, 03.
  8. 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, Cambridge University Press, vol. 59(02), pages 473-494, April.
  9. Mayda, Anna Maria & Rodrik, Dani, 2001. "Why are Some People (and Countries) More Protectionist than Others?," CEPR Discussion Papers, C.E.P.R. Discussion Papers 2960, C.E.P.R. Discussion Papers.
  10. Dani Rodrik, 1996. "Why Do More Open Economies Have Bigger Governments?," NBER Working Papers, National Bureau of Economic Research, Inc 5537, National Bureau of Economic Research, Inc.
  11. Christian Dustmann & Ian Preston, 2004. "Is Immigration Good or Bad for the Economy? Analysis of Attitudinal Responses," CReAM Discussion Paper Series, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London 0406, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
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Cited by:
  1. Giuseppe Bertola, 2010. "Inequality, integration, and policy: issues and evidence from EMU," Journal of Economic Inequality, Springer, Springer, vol. 8(3), pages 345-365, September.
  2. Bertola, Giuseppe & Lo Prete, Anna, 2008. "Openness, Financial Markets, and Policies: Cross-Country and Dynamic Patterns," CEPR Discussion Papers, C.E.P.R. Discussion Papers 7048, C.E.P.R. Discussion Papers.
  3. Giovanni Facchini & Tommaso Frattini & Cora Signorotto, 2013. "Mind What Your Voters Read: Media Exposure and International Economic Policy Making," Development Working Papers, Centro Studi Luca d\'Agliano, University of Milano 358, Centro Studi Luca d\'Agliano, University of Milano.
  4. Mayda, Anna Maria, 2008. "Why are people more pro-trade than pro-migration?," Economics Letters, Elsevier, Elsevier, vol. 101(3), pages 160-163, December.
  5. Brian Burgoon & Panicos O. Demetriades & Geoffrey R.D. Underhill, 2011. "Sources and Legitimacy of Financial Liberalization," Discussion Papers in Economics, Department of Economics, University of Leicester 11/45, Department of Economics, University of Leicester.
  6. Naci Canpolat & Hüseyin Ozel, 2008. "Evolutionary Dynamics of Globalization," Working Papers, Turkish Economic Association 2008/16, Turkish Economic Association.
  7. Bertola, Giuseppe, 2007. "Finance and Welfare States in Globalizing Markets," CEPR Discussion Papers, C.E.P.R. Discussion Papers 6480, C.E.P.R. Discussion Papers.

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