Abstract
Does an individual’s exposure to aspects of globalization impact their willingness to support income transfers to the poor? We hypothesize that the 'glitter' of foreign direct investment (FDI) in developing countries creates perceptions among relatively better-off citizens that the poor are less deserving of help, and reduces their financial support for the poor. Our experiment in India reveals that subjects share substantively less of their earnings with a real-world poor person in response to FDI, particularly when the foreign industry is producing in a low-skill, labor-intensive industry and the respondent self-identifies as ideologically conservative. This analysis combines experimental evidence with text analysis to assess the causal impact of FDI on redistribution towards the poor, mediated by ideology.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
