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Does Economic Globalization Influence the US Policy Mood?: A Study of US Public Sentiment, 1956–2011

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  • Owen, Erica
  • Quinn, Dennis P.

Abstract

Does increasing economic globalization influence aggregate policy mood toward the role and size of government in the United States? Drawing on insights from international political economy scholarship, this article suggests that the impact of trade on aggregate preferences will depend on citizens’ exposure to trade. It hypothesizes that employees of import-competing, export-oriented and multinational firms will adopt a ‘compensatory’ model in which higher levels of imports (exports) lead to a liberal (conservative) shift in policy preferences for more (less) government. It distinguishes between intrafirm and non-intrafirm trade flows. It measures policy mood using Stimson's ‘Mood’, and estimates Error Correction and Instrumental Variable models. Trade flows strongly influence Mood in a manner consistent with hypotheses drawn from international political economy and heterogeneous firms (or ‘new new’) trade theory.

Suggested Citation

  • Owen, Erica & Quinn, Dennis P., 2016. "Does Economic Globalization Influence the US Policy Mood?: A Study of US Public Sentiment, 1956–2011," British Journal of Political Science, Cambridge University Press, vol. 46(1), pages 95-125, January.
    • Handle: RePEc:cup:bjposi:v:46:y:2016:i:01:p:95-125_00
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    Cited by:

    1. Pablo M. Pinto & Stephen Weymouth, 2016. "Partisan Cycles in Offshore Outsourcing: Evidence from U.S. Imports," Economics and Politics, Wiley Blackwell, vol. 28(3), pages 233-261, November.
    2. Tushar Bharati & Mohammad Farhad & Michael Jetter, 2023. "On the relationship between trade openness and government size," The World Economy, Wiley Blackwell, vol. 46(7), pages 2102-2133, July.
    3. Ferrara, Federico, 2023. "Why does import competition favor republicans? Localized trade shocks and cultural backlash in the US," LSE Research Online Documents on Economics 111961, London School of Economics and Political Science, LSE Library.

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