The aim of this work is to employ theoretical and empirical analysis on the role of special interest groups in the determination of the EU trade policy. We build a two-stage game model of trade policy formation in a multisector-multicountry framework. We obtain the level of protection as a function of industry characteristics, in addition to political and economic factors atmember state and European levels. The model is then tested by 2SLS estimation using data for 15 countries and 41 sectors. The econometric output suggests empirical support to model’s predictions as it highlights an important role for both national and European groups in trade policy making.
Special interest groups and trade policy in the EU / Belloc, Marianna; GUERRIERI PALEOTTI, Paolo. - In: OPEN ECONOMIES REVIEW. - ISSN 0923-7992. - STAMPA. - 19:4(2008), pp. 457-478. [10.1007/s11079-007-9012-1]
Special interest groups and trade policy in the EU
BELLOC, MARIANNA
;GUERRIERI PALEOTTI, Paolo
2008
Abstract
The aim of this work is to employ theoretical and empirical analysis on the role of special interest groups in the determination of the EU trade policy. We build a two-stage game model of trade policy formation in a multisector-multicountry framework. We obtain the level of protection as a function of industry characteristics, in addition to political and economic factors atmember state and European levels. The model is then tested by 2SLS estimation using data for 15 countries and 41 sectors. The econometric output suggests empirical support to model’s predictions as it highlights an important role for both national and European groups in trade policy making.File | Dimensione | Formato | |
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