THE INSTITUTIONAL ROOTS OF AMERICAN TRADE-POLICY

The 1934 Reciprocal Trade Agreements Act (RTAA) changed the structure of the making of U.S. trade policy and made possible a dramatic reduct ion in tariffs. The authors demonstrate that the key institutional inn ovation in the RTAA was its mandate to lower tariffs through reciproca l agreements with foreign nations. The expansion of exports under the RTAA enhanced political support for increasingly lower U.S. tariffs. E vidence that export interests were positively associated with congress ional votes for free trade supports this view.