This paper assesses the foreign lobbying forces behind the tariff preferences that the United States grants to Latin American and Caribbean countries. The basic framework is the one developed that is extended to explain the relationship between foreign lobbying and tariff preferences. Results suggest that returns to Latin American and Caribbean exporters lobbying for tariff preferences in the United States are around 50 percent. The reason for these large returns is the relatively low estimated weight given to social welfare in the U.S. government's objective function when deciding whether or not to grant tariff preferences to Latin American and Caribbean exporters.
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Grossman, Gene M & Helpman, Elhanan, 1994.
"Protection for Sale,"
American Economic Review,
American Economic Association, vol. 84(4), pages 833-50, September.
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Gene M. Grossman & Elhanan Helpman, 1992.
"Protection For Sale,"
NBER Working Papers
4149, National Bureau of Economic Research, Inc.
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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.)
Burfisher, Mary E. & Robinson, Sherman & Thierfelder, Karen, 2004.
"Regionalism,"
MTID discussion papers
65, International Food Policy Research Institute (IFPRI).
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