Evidence shows that most foreign direct investment (FDI) flows from developed to developed countries (North–North) in skilled labor-intensive industries. This paper builds a model that incorporates labor training into the proximity–concentration tradeoffs to analyze the entry mode of...

This paper develops a two-country, two-firm model to study equilibrium lobbying positions in intra-industry trade. A firm chooses either a protectionist position or a free-trade position. The model predicts that taking the free-trade lobbying position is an efficient firm's dominant strategy. If...

We develop a North-South model of international trade and transboundary pollution to analyze the relationship between environmental technology transfer and the South's incentive to join an international environmental agreement (IEA). We find necessary and sufficient conditions under which...

In this paper we explore the design of optimal incentive-compatible anti-dumping (AD) measures. When the weight given to the domestic firm's profit in the government's objective function is relatively small, it is shown that no AD duty should be imposed if the foreign firm reports its own costs,...