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Trade, Turnover, and Tithing

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Author Info

  • Christopher Magee

    (Bucknell University)

  • Carl Davidson

    (Michigan State University)

  • Steven Matusz

    (Michigan State University)

Abstract

This paper examines the hypothesis that turnover affects trade preferences. High turnover industries are similar to the Stolper- Samuelson assumption of perfect factor mobility, so factor of production drives trade preferences. Among low turnover industries, as in the specific factors model, net export position determines trade preferences. We show that PAC contribution patterns are consistent with this hypothesis. In high turnover industries, capital groups give significantly larger shares of their campaign contributions to free trade supporters than labor groups do. Among low turnover industries, on the other hand, exporting and import-competing groups differ significantly in their financial support for free traders.

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File URL: http://128.118.178.162/eps/it/papers/0503/0503010.pdf
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Bibliographic Info

Paper provided by EconWPA in its series International Trade with number 0503010.

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Length: 34 pages
Date of creation: 15 Mar 2005
Date of revision:
Handle: RePEc:wpa:wuwpit:0503010

Note: Type of Document - pdf; pages: 34. 34 pages, PDF file
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Web page: http://128.118.178.162

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Keywords: Trade Preferences; Trade and Wages; Campaign Contributions; Stolper-Samuelson; Specific Factors;

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References

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  13. Grossman, Gene & Helpman, Elhanan, 1993. "Protection for Sale," CEPR Discussion Papers 827, C.E.P.R. Discussion Papers.
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Citations

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Cited by:
  1. Erhan Artuc & Shubham Chaudhuri & John McLaren, 2007. "Trade Shocks and Labor Adjustment: A Structural Empirical Approach," NBER Working Papers 13465, National Bureau of Economic Research, Inc.
  2. Emily Blanchard & Gerald Willmann, 2007. "Political Stasis or Protectionist Rut? Policy Mechanisms for Trade Reform in a Democracy," CESifo Working Paper Series 2070, CESifo Group Munich.
  3. Magee, Christopher S.P. & Davidson, Carl & Matusz, Steven J., 2005. "Trade, turnover, and tithing," Journal of International Economics, Elsevier, vol. 66(1), pages 157-176, May.
  4. Carl Davidson & Steven J. Matusz, 2005. "Trade and Turnover: Theory and Evidence," Review of International Economics, Wiley Blackwell, vol. 13(5), pages 861-880, November.
  5. Dutt, Pushan & Mitra, Devashish & Ranjan, Priya, 2009. "International trade and unemployment: Theory and cross-national evidence," Journal of International Economics, Elsevier, vol. 78(1), pages 32-44, June.
  6. Michael W. Klein & Scott Schuh & Robert K. Triest, 2002. "Job creation, job destruction, and international competition: a literature review," Working Papers 02-7, Federal Reserve Bank of Boston.

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