This paper analyzes the incentives for governments to impose export subsidies when firms invest in a cost saving …. Under Bertrand competition, export subsidies are positive whenever R&D is sufficiently cost-effective at reducing marginal … sufficiently cost-effective. Output subsidies are more robust than implied by the recent literature. …

committed to trade policy during two periods. We compare the case in which both governments choose their export subsidies in the …, since export subsidies are lower (closer to the cooperative solution) than when governments set them sequentially … is the equilibrium of the pre-commitment game in which both governments choose when to set their export subsidies. These …

accompanied by the optimal tariff, the resulting optimal subsidies are always positive. …

This study examines the effect of research and development subsidies on the private funding of R&D in France. We … address this issue from the annual R&D survey over 1985-1997, which provides information about the R&D subsidies given by all … supported firms would have invested the same amount of private R&D without the subsidies, we use matching methods. We show that …