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Estudo

Monopoly power and trade protectioncross- industry evidence

Ferreira, Pedro Cavalcanti

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Resumo

This paper investigates the impact of industry concentration on trade policy. Annual panel-databases of Brazilian industries for the years 1988 through 1994 were used. The regressions reported here are robust to openness indicator. concentration index, control variables and sample size, and suggest that the higher the concentration of a given industry the higher its leveI of trade protection. In the period of study the country experienced a major trade liberalization, but the results in the paper show that the reduction in protection was smaller in more concentrated sectors. Assuming that concentration is ;1 gCl()d proX\' for mOllopoh' po\\'er as it reduces the free-rider problem in coordinating a lobby the results in this paper indicates that interest groups with control over specific markets in fact are able to obtain policy advantages that reduce (international) competition.

Ficha do documento

Tipo
Estudo
Ano
2000
Instituição
Escola de Pós-Graduação em Economia da FGV
Idioma
Inglês
Acesso
Não informado
Identificador
oai:repositorio.fgv.br:10438/12175

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