NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Reciprocated Unilateralism in Trade Reforms with Majority Voting

Pravin Krishna, Devashish Mitra

NBER Working Paper No. 10826
Issued in October 2004
NBER Program(s):International Trade and Investment

This paper shows how unilateral liberalization in one country can increase the voting support for reciprocal reduction in trade barriers in a partner country. When trade policies are determined simultaneously in the two countries, we show the possibility of multiple political equilibria - countries may both be protectionist or trade freely with each other. Starting with trade protection in both countries, a unilateral reform in one country is thus shown to bring about a free trade equilibrium (a self-enforcing state) that is consistent with majority voting in both countries.

download in pdf format
   (163 K)

email paper

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w10826

Published: Krishna, Pravin, and Devashish Mitra. "Reciprocated Unilateralism in Trade Reforms with Majority Voting." Journal of Development Economics 85(1-2): 81-93, February 2008 citation courtesy of

Users who downloaded this paper also downloaded* these:
Krishna and Mitra w9631 Reciprocated Unilateralism in Trade Policy: An Interest-Group Approach
Baldwin w16600 Unilateral Tariff Liberalisation
Al-Ubaydli, Gneezy, lee, and List w16547 Toward an understanding of the relative strengths of positive and negative reciprocity
Costa and Lamoreaux Introduction to "Understanding Long-Run Economic Growth: Geography, Institutions, and the Knowledge Economy
Cespedes and Velasco w19748 Was This Time Different? Fiscal Policy in Commodity Republics
 
Publications
Activities
Meetings
NBER Videos
Themes
Data
People
About

National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us