The Structure of Tariffs and Long-Term Growth

A-Tier
Journal: American Economic Journal: Macroeconomics
Year: 2010
Volume: 2
Issue: 4
Pages: 158-94

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We show that the "skill bias" of a country's tariff structure is positively correlated with long-term per capita GDP growth. Testing for causal mechanisms, we find evidence consistent with the existence of real benefits from tariffs focused in skill-intensive industries. However, this only accounts for a quarter of the total correlation between skill-biased tariffs and growth. Turning to alternative explanations, we extend the standard Grossman-Helpman "protection-for- sale" model and show how the skill bias of tariffs can reflect the extent of domestic rent-seeking activities in the economy. We provide evidence that the remaining variation is explained by this endogeneity. (JEL D72, F13, F43, O17, O19, O24, O47)

Technical Details

RePEc Handle
repec:aea:aejmac:v:2:y:2010:i:4:p:158-94
Journal Field
Macro
Author Count
2
Added to Database
2026-01-26