Larue, Bruno; Gervais, Jean-Philippe - In: Canadian Journal of Economics 35 (2002) 4, pp. 786-804
In this paper we compare the orthodox optimal tariff formula with the appropriate welfare-maximizing tariff when there are a few producing or importing firms. The welfare-maximizing tariff can be very low, voire negative in some cases, while in others it can even exceed the maximum-revenue...