Stable Multilateral Trade Agreements.

The authors analyze multilateral tariff negotiations as a game in coalition form. In a model with three identical countries that produce and trade an homogeneous commodity and where countries' aggregated welfare can weight differently their different components, they analyze how changes in the countries' objective affects the stability of coalitions. In other words, the authors characterize what tariff agreements, if any, are stable (i.e., lie in the core). Copyright 1998 by The London School of Economics and Political Science