Economics at your fingertips  

Foreign influence and domestic policy

Toke Aidt (), Facundo Albornoz () and Esther Hauk ()

No 2020-01, Discussion Papers from Nottingham Interdisciplinary Centre for Economic and Political Research (NICEP)

Abstract: In an interconnected world, economic and political interests inevitably reach beyond national borders. Since policy choices generate external economic and political costs, foreign state and non-state actors have an interest in infl uencing policy actions in other sovereign countries to their advantage. Foreign influence is a strategic choice aimed at internalizing these externalities and takes three principal forms: (i) voluntary agreements, (ii) policy interventions based on rewarding or sanctioning the target country to obtain a specific change in policy and (iii) institution interventions aimed at influencing the political institutions in the target country. We propose a unifying theoretical framework to study when foreign influence is chosen and in which form, and use it to organize and evaluate the new political economics literature on foreign influence along with work in cognate disciplines.

Keywords: Foreign influence; international agreements; institutions; foreign lobbying; aid; sanctions; conflict (search for similar items in EconPapers)
Date: 2020
New Economics Papers: this item is included in nep-cdm and nep-pol
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) ... 20/nicep-2020-01.pdf (application/pdf)

Related works:
Journal Article: Foreign Influence and Domestic Policy (2021) Downloads
Working Paper: Foreign influence and domestic policy (2019) Downloads
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:

Access Statistics for this paper

More papers in Discussion Papers from Nottingham Interdisciplinary Centre for Economic and Political Research (NICEP) School of Economics University of Nottingham University Park Nottingham NG7 2RD. Contact information at EDIRC.
Bibliographic data for series maintained by Hilary Hughes ().

Page updated 2021-10-14
Handle: RePEc:not:notnic:2020-01