Protection for Sale in the EU

Belloc, Marianna (2007) Protection for Sale in the EU. Working Paper. Dipartimento di Economia Pubblica, Università di Roma La Sapienza, Roma, Italia.


Download (280kB)
Official URL:


This paper presents estimation of the Grossman-Helpman (1994) model for the EU. We try to address a number of pitfalls that surround the previous empirical literature. First, we suggest a new identification strategy that enables to single out politically organized sectors with specific regard to trade policy. Second, we utilize two alternative measures of trade protection (ad-valorem equivalent of non-tariff barriers and overall restrictiveness) and adopt industrial and trade data at a high level of disaggregation. Finally, we directly obtain the structural coefficients of the model by estimating a nonlinear simultaneous equations system that is tightly linked to theory. We find that the theoretical model is broadly consistent with data and conclusions turn out internally coherent.

Item Type: Monograph (Working Paper)
Additional Information: JEL Classification: F13; F15; D71; D72; C31
Uncontrolled Keywords: Trade policy; European Union; Lobbying; Political economy; Simultaneous Equations Models
Subjects: 300 Scienze sociali > 330 Economia
Depositing User: Dipartimento economia e diritto
Date Deposited: 15 May 2009
Last Modified: 20 May 2010 12:02

Actions (login required)

View Item View Item