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The Effects Of Protection On The Factor Content Of Japanese And American Foreign Trade

In: Comparative Advantage, Growth, And The Gains From Trade And Globalization A Festschrift in Honor of Alan V Deardorff

Author

Listed:
  • Robert W. Staiger

    (University of Michigan, Ann Arbor, MI 48109, USA)

  • Alan V. Deardorff

    (University of Michigan, Ann Arbor, MI 48109, USA)

  • Robert M. Stern

    (Brandeis University, USA and Stanford University, USA)

Abstract

Data on pre-Tokyo Round tariffs and ad valorem approximations of non tariff barriers are used in the Michigan Computational Model of World Production and Trade to calculate changes in commodity trade attributable to protection in Japan and the United States. Data on factor requirements in production are then used to calculate the factor contents of these computed changes in trade. Results indicate that Japanese protection is more distortionary of factor markets in Japan and the United States than is American protection, and that U.S. manufacturing labor would be the least likely to gain from trade liberalization in Japan and/or the United States.

Suggested Citation

  • Robert W. Staiger & Alan V. Deardorff & Robert M. Stern, 2011. "The Effects Of Protection On The Factor Content Of Japanese And American Foreign Trade," World Scientific Book Chapters, in: Robert M Stern (ed.), Comparative Advantage, Growth, And The Gains From Trade And Globalization A Festschrift in Honor of Alan V Deardorff, chapter 39, pages 547-556, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789814340373_0039
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    Cited by:

    1. William Milberg, 1999. "The Rhetoric of Policy Relevance in International Economics," Macroeconomics 9904009, University Library of Munich, Germany.
    2. Trefler, Daniel & Zhu, Susan Chun, 2010. "The structure of factor content predictions," Journal of International Economics, Elsevier, vol. 82(2), pages 195-207, November.

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