6-DuttMitra

6-DuttMitra - Political Economy of Institutions: Trade L...

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Click to edit Master subtitle style 2/22/10 Lecture 6: Parties, Ideology Dutt and Mitra Milner and Judkins Political Economy of Institutions: Trade
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2/22/10 Democratic Institutions: who gets Elections Mayer – Direct Democracy labor intensive industries (in K abundant countries) concentrated owners of specific factors Lobbies Organized sectors get protected Protection rises if the fraction of sectors that is organized is lower.
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2/22/10 Lessons from the lobby model Organized sectors gain at the expense on non-organized sectors (and workers) Trade policy redistributes from organized to non-organized sectors/factors Lobbies can have a substantial effect of trade policy Government trades off support from the lobby with social welfare (votes from the electorate at large).
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2/22/10 Democratic Institutions: who gets Elections Mayer – Direct Democracy labor intensive industries (in K abundant countries) concentrated owners of specific factors Lobbies Organized sectors get protected Protection rises if the fraction of sectors that is organized is lower.
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6-DuttMitra - Political Economy of Institutions: Trade L...

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