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first few quarters. This combination resulted in a major increase of imports from the main trading partners of West Germany … in other countries leading to a feedback on Germany. The paper provides a short overview over the basic model. The …
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This paper analyses the effects of the creation or removal of borders on firms' profits and their optimal location in an autarkic region. A firm chooses a position close to a border if a crucial degree of openness is achieved. Furthermore, the positive effect of removal of borders decreases in...
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