This paper seeks to motivate the observed tendency of multinationals with home bases in LDCs to adopt labor-intensive technology relative to their counterparts in industrial countries. Two multinationals play a spatial duopoly game in which the location, mode of market service (exports or...

It is common knowledge that consuming (downstream) industries are harmed by import barriers placed on primary or intermediate (upstream) products. The authors empirically examine th e natural result of these forces: the flow of protection, winding its way downstream. After first discussing the...