EconPapers    
Economics at your fingertips  
 

Protectionist demands in globalization

Arzu Ilhan and Özgür Kıbrıs ()

No 6, Working Papers (Old Series) from Federal Reserve Bank of Cleveland

Abstract: This paper analyzes a small, open economy whose citizens have single-peaked preferences on the tariff rate for an import good. They publicly declare this rate to the government, which has discretion in implementing it. While the government has an incentive not to deviate too much from the publicly chosen tariff rate, its final choice is determined by bargaining with a foreign lobby that has a much lower optimal rate and offers monetary transfers in return for lower tariffs. The authors show that the expectation of foreign influence causes citizens to vote for a more protectionist tariff policy. Moreover, citizens? behavior leads to an increase in transfers by the foreign lobby.

Keywords: Tariff; Trade (search for similar items in EconPapers)
Date: 2000
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://www.clevelandfed.org/~/media/content/newsr ... tion%20pdf.pdf?la=en Full text (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fip:fedcwp:0006

Ordering information: This working paper can be ordered from

Access Statistics for this paper

More papers in Working Papers (Old Series) from Federal Reserve Bank of Cleveland Contact information at EDIRC.
Bibliographic data for series maintained by ().

 
Page updated 2020-07-31
Handle: RePEc:fip:fedcwp:0006