Externe Publikationen

Depression of the deprived or eroding enthusiasm of the elites: What has shifted the support for international trade?

Harms, Philipp / Jakob Schwab
Externe Publikationen (2020)

in: European Journal of Political Economy 64 (article 101901)

DOI: https://doi.org/10.1016/j.ejpoleco.2020.101901

We use the 2003 and 2013 waves of the International Survey Program (ISSP) in order to explore the change in people’s attitudes that may be behind the recent backlash against globalization. We show that the average support for international trade has decreased in many – albeit not all – countries, and we demonstrate that these changes are related to the depth and length of the global financial crisis of 2008/09 as well as the evolution of income inequality. Moreover, our results document a declining support of those individuals who are likely to benefit from international trade: the young, high-skilled and well-off. We show that this “eroding enthusiasm of the elites” is empirically relevant even if we control for individuals’ increasing exposure to international labor-market competition.

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