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This paper uses international survey data to document two stylized facts. First, risk aversion is associated with anti-trade attitudes. Second, this effect is smaller in countries with greater levels of government expenditure. The paper thus provides evidence for the microeconomic underpinnings of the argument associated with Ruggie (1982), Rodrik (1998) and others that government spending can bolster support for globalization by reducing the risk associated with it in the minds of voters.
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Risk, government and globalization: international survey evidence
2007, National Bureau of Economic Research
in English
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Book Details
Edition Notes
"April 2007"
Includes bibliographical references.
Also available in PDF from the NBER world wide web site (www.nber.org)..
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