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Title: Lobbying, multisector trade, and sustainability of free-trade agreements
Authors: Qiu, Larry Dongxiao
Keywords: Lobbying
Free-trade agreements
Multisector trade
Issue Date: Nov-2004
Citation: Canadian journal of economics, vol. 37, iss. 4, November 2004, p. 1061-1083
Abstract: This paper is concerned with the sustainability of free-trade agreements (FTA). FTA sustainability is influenced by governments’ valuations of political contributions, discount factors, the lobbying position of the specific-interest groups in the intra-industry trade sectors, and the sectoral coverage of the FTA. I find that (i) under certain conditions, the FTA under protectionist lobbying could be more sustainable than the FTA under no political pressure; (ii) the lobby-supported FTA is more sustainable than the lobby-opposed FTA and the FTA under no political pressure; and (iii) multisector trade enhances FTA sustainability.
Rights: This is an electronic version of an article published in Canadian journal of economics, vol. 37, iss. 4, November 2004, p. 1061-1083 © 2004 The Canadian Economics Association by the University of Toronto Press
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