We examine the role of political factors in Mexico’s antidumping regime, considering both the characteristics of target countries subject to antidumping duties and industry-specific factors for sectors receiving protection. Our results are broadly consistent with the recent theoretical...

Antidumping actions in the United States and EU are known to be linked to macroeconomic conditions. In part, this is because positive injury findings may be easier to make in a downturn. We explore the evidence for Mexico, one of the main "new" antidumping using countries. Injury determination...

We study the optimal trade policy against a foreign oligopoly with endogenous quality. We show that, under the Most Favoured Nation (MFN) clause, a uniform tariff policy is always welfare improving over the free trade equilibrium. However, a nonuniform tariff policy is always desirable on...

The paper examines the effects of Russia joining the WTO taking into account energy sector reform and the impact of a future Free Trade Agreement (FTA) between the enlarged EU and Russia. The paper uses Computable General Equilibrium Modelling techniques for quantifying the different possible...

This paper is concerned with rules of origin when intermediate goods are differentiated. An analytical model emphasizes trade patterns and the relative importance of trade in intermediates given trade preferences. Econometric evidence based on intra-OECD trade in motor vehicles and motor vehicle...

We present an equilibrium-search model with heterogenous workers who search for a job in one of two sectors and who lose part of their skills during unemployment. We show that an import tariff increase the wage and the employment prospects in the protected sector. This results in a labor market...

Transaction costs are a major reason why international trade flows are much smaller than traditional trade theory would suggest. Trust between trading partners lowers transaction costs and may therefore enhance trade. The empirical analysis of this paper shows that more trust leads to more trade...

A major question in the globalization debate is whether outsourcing and offshoring activities are beneficial to the home country. This paper investigates the effects on productivity and trade from the perspective of transaction costs, using a recent theory on trade in tasks. A production...

By combining two large data sets (on international trade flows and cross-border mergers and acquisitions – M&As), we test two implications of Neary’s (2003, 2007) general oligopolistic equilibrium (GOLE) model (incorporating strategic interaction between firms in a general equilibrium...

Anti-dumping actions are now the trade policy of choice of developing and transition economies. To understand why these economies have increasingly applied anti-dumping laws, we build a simple theoretical model of vertical intra-industry trade and investigate the strategic incentives of...