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The Deep Roots of Protectionism in the Southern Cone: Constituent Interests and Mercosur’s Common External Tariff

Published online by Cambridge University Press:  22 October 2018

Anthony A. Pezzola*
Affiliation:
Director of overseas programs atWashington University in St. Louis.

Abstract

This article examines the influence of subnational economic interests on the formation of supranational trade policy in the Southern Common Market (Mercosur). Accounting for differences in the relative importance of member countries, the article argues that subnational economic interests influenced the structure of Mercosur’s common external tariff (CET). Although the CET was negotiated without direct input from voters or legislators, its structure reflects the interests of geographically specific economic interests in the member countries. The results of a regression analysis of tariffs toward nonmembers indicate that the economic composition of subnational political jurisdictions shaped the structure of the CET. These findings suggest that by overlooking subnational economic interests, much of the current literature on the evolution of Mercosur misses a critical aspect of the policymaking process.

Type
Research Article
Copyright
© 2018 University of Miami 

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References

Data Sources

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