Endoh, Masahiro; Hamada, Koichi; Shimomura, Koji - Economic Growth Center, Economics Department - 2008
and substitutes, and that initial tariff levels are small.
Keywords: PTA, Neighbor’s Welfare, Kemp-Wan Theorem, WTO … the formation of a PTA.
It is well known through the famous Kemp-Wan theorem (Kemp and Wan, 1976)
that a PTAcan bene …" (ETTP) state, a concept used in the
proof of the Kemp-Wan theorem.
Proposition IA: Under Assumptions I, IIA, and III, it is …