Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/189408
Authors: 
Imai, Susumu
Katayama, Hajime
Krishna, Kala
Year of Publication: 
2007
Series/Report no.: 
Queen's Economics Department Working Paper No. 1132
Publisher: 
Queen's University, Department of Economics, Kingston (Ontario)
Abstract: 
This paper proposes a new test of the Protection for Sale (PFS) model by Grossman and Helpman (1994). Unlike existing methods in the literature, our approach does not require any data on political organizations. We formally show that the PFS model provides the following prediction: In the quantile regression of the protection measure on the inverse import penetration ratio divided by the import demand elasticity, its coefficient should be positive at the quantile close to one. We examine this prediction using the data from Gawande and Bandyopadhyay (2000). The results do not provide any evidence favoring the PFS model.
Subjects: 
Quantile Regression
Protection for Sale
Political Economy
JEL: 
F13
D72
F17
Document Type: 
Working Paper

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