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A political-economy theory of trade agreements

Author: Giovanni Maggi; Andrés Rodríguez-Clare; National Bureau of Economic Research.
Publisher: Cambridge, Mass. : National Bureau of Economic Research, ©2005.
Series: Working paper series (National Bureau of Economic Research), working paper no. 11716.
Edition/Format:   Print book : EnglishView all editions and formats
Summary:
"We develop a model where trade agreements -- in addition to correcting terms-of-trade externalities -- help governments to commit vis-a-vis domestic industrial lobbies. The model allows us to explore how the characteristics of the political environment affect the structure of the trade agreement and the extent of trade liberalization. The model also highlights the role of intersectoral capital mobility in  Read more...
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Additional Physical Format: Online version:
Maggi, Giovanni, 1964-
Political-economy theory of trade agreements.
Cambridge, Mass. : National Bureau of Economic Research, ©2005
(OCoLC)648545829
Material Type: Internet resource
Document Type: Book, Internet Resource
All Authors / Contributors: Giovanni Maggi; Andrés Rodríguez-Clare; National Bureau of Economic Research.
OCLC Number: 62351592
Notes: "October 2005."
Description: 45, [4] pages : illustrations ; 22 cm.
Series Title: Working paper series (National Bureau of Economic Research), working paper no. 11716.
Responsibility: Giovanni Maggi, Andrés Rodríguez-Clare.

Abstract:

"We develop a model where trade agreements -- in addition to correcting terms-of-trade externalities -- help governments to commit vis-a-vis domestic industrial lobbies. The model allows us to explore how the characteristics of the political environment affect the structure of the trade agreement and the extent of trade liberalization. The model also highlights the role of intersectoral capital mobility in determining trade liberalization. In a dynamic extension of the model, we explore the extent to which trade liberalization occurs gradually, and how its speed depends on the fundamentals of the problem"--National Bureau of Economic Research web site.

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