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Published byLynne Horn Modified over 9 years ago
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Where Do Losers Lose the Least? Regime Type and the Unequal Gains from Trade Lauren Allen & Sylvia Cesar
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As a country opens its economy to trade, will income inequality be ameliorated? Do these effects depend on regime type?
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Hypothesis: democracies are better at redistributing the losses and gains from trade
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Trade & Inequality ●Heckscher-Ohlin Model ○Stolper-Samuelson effect ●Ambiguous effects
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Democracy & Inequality ●Governments’ incentives and staying in power ●Median voter ●Government Ideology
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Methodology Income distribution SWIID Gini coefficient (post-tax)
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Methodology ●Economic Globalization ○Axel Dreher 2006 ●Regime Type ○DD Dichotomous indicator (1-0)
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Conclusion ●Regime type and inequality ●Regime type and welfare ●Malapportionment and welfare
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Further Research ●Robust testing: Country Fixed Effects ●Theory: ○Autocracies’ incentives to provide welfare
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