Trade Liberalization V.S. Political Conflict: How does Political Stance Affect the Signing of TPP

Abstract

Many countries have been actively promoting trade liberalization within bilateral or regional free trade frameworks in order to strengthen economic relations, even though these initiatives are often politically divisive. Trade liberalization can alter a country’s income distribution, leading to political conflict. In democratic societies, politicians respond to voters’ opinions for or against trade liberalization because these politicians need voters’ political support, and influence the fate of the country’s trade policy. To better understand this issue, many studies have examined what drives politicians to support or oppose liberalized trade.