"New" econometric evidence for the Baldwin-Richardson (1972)/Miyagiwa (1991) theoretical predictions in government procurement

Anirudh Shingal

MPRA Paper from University Library of Munich, Germany

Abstract: Baldwin and Richardson (1972) and Miyagiwa (1991) laid out the conditions under which a home-bias in public procurement is rendered ineffective as a protectionist device. Since then there has been little empirical work on this subject. In this paper, we bridge this gap by building a new dataset from WTO notifications on domestic and foreign purchases by Japanese and Swiss governments at the sector level over 1990-2003 and use it to test the BRM theoretical predictions. Significantly, our empirical results support these theoretical predictions.

Keywords: Government procurement; home-bias; Baldwin-Richardson (1972); GPA; Japan; Switzerland (search for similar items in EconPapers)
JEL-codes: F10 F13 F14 H57 (search for similar items in EconPapers)
Date: 2013-07-21
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