UCD School of Politics and International Relations
Newman Building, University College Dublin
Belfield, Dublin 4, IRELAND
Institutional Affiliation: University College Dublin
NBER Working Papers and Publications
|April 2007||Risk, Government and Globalization: International Survey Evidence|
with Anna Maria Mayda, Kevin H. O'Rourke: w13037
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.