Globalization and the Demand-Side of Politics. How Globalization Shapes Labor Market Risk Perceptions and Policy Preferences

Forthcoming in Political Science Research and Methods

41 Pages Posted: 27 Oct 2015

See all articles by Stefanie Walter

Stefanie Walter

University of Zurich - Institute for Political Science

Date Written: October 26, 2015

Abstract

Does globalization affect the demand-side of politics, and if so, how? This paper builds on new developments in trade theory to argue that globalization matters, but that its effects on individuals’ perceptions of labor market risk and policy preferences are more heterogenous than previous research has acknowledged. Globalization-exposure increases risk perceptions and demands for social protection among low-skilled individuals, but decreases them among high-skilled individuals. This conditional effect is observationally distinct from classic trade models as well as arguments that deindustrialization or ideology predominantly drive such perceptions and preferences. Analyzing cross-national survey data from 16 European countries and focusing both on trade and offshoring, the empirical analyses support the prediction that exposure to globalization affects high-and low-skilled individuals differently, leading to variation in labor market risk perceptions and policy preferences.

Keywords: globalization, offshoring, trade, preferences, labor market risk, redistribution, micro-level

Suggested Citation

Walter, Stefanie, Globalization and the Demand-Side of Politics. How Globalization Shapes Labor Market Risk Perceptions and Policy Preferences (October 26, 2015). Forthcoming in Political Science Research and Methods, Available at SSRN: https://ssrn.com/abstract=2680293

Stefanie Walter (Contact Author)

University of Zurich - Institute for Political Science ( email )

Dep. of International Relations
Seilergraben 49
CH-8001 Zurich
Switzerland

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