Jobs, Jobs, Jobs: A "New" Perspective on Protectionism
Name
jobs_080222.pdf
Size
282.54 KB
Format
Adobe PDF
Checksum (MD5)
a13d6426dca40e6a09a145cfa988ddb6
Author(s)
Costinot, Arnaud
Date Issued
August 2009
Journal
Journal of the European Economic Association
Publisher
MIT Press
Citation
Costinot, Arnaud. “Jobs, Jobs, Jobs: A “New” Perspective on Protectionism.” Journal of the European Economic Association 7.5 (2009): 1011-1041.
Version
Original manuscript
Abstract
This paper analyzes the determinants of protectionism in a small open economy with search frictions. In this environment, jobs generate rents whose access depends on the level of trade protection. By raising the domestic price of a good, a government may attract more firms in a particular industry. This raises the probability that workers will find jobs in this sector, and in turn, will benefit from the associated rents. Though simple, this channel may help explain a variety of stylized facts on the structure of trade protection and individual trade-policy preferences.
Subjects
trade-policy preferences
trade protection
search frictions
MIT Department
Massachusetts Institute of Technology. Department of Economics
Terms of Use
Article is made available in accordance with the publisher's policy and may be subject to US copyright law. Please refer to the publisher's site for terms of use.
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DOI of Published Version
http://dx.doi.org/10.1162/JEEA.2009.7.5.1011
