Journal Article

The Effect of Trade on Workers and Voters

Autoren

  • Dippel
  • C.
  • Gold
  • R.
  • Heblich
  • S.
  • Pinto
  • R.
Erscheinungsdatum

We investigate economic causes of the rising support of populist parties in industrialised countries. Looking at Germany, we find that exposure to imports from low-wage countries increases the support for nationalist parties between 1987–2009, while increasing exports have the opposite effect. The net effect translates into increasing support of the right-populist Alternative for Germany party after its emergence in 2013. Individual data from the German Socio-Economic Panel reveal that low-skilled manufacturing workers’ political preferences are most responsive to trade exposure. Using a novel approach to causal mediation analysis, we identify trade-induced labour market adjustments as an economic mechanism causing the voting response to international trade.

Experte IfW Kiel

Info

JEL Classification
D72, F6, J2
DOI
10.1093/ej/ueab041

Schlagworte

  • Exposition gegenüber Importen
  • Klimaallianz
  • Lokale Arbeitsmärkte