This paper revisits the debate on foreign aid effectiveness from a different perspective by analysing the role of institutional corruption on the effect of aid volatility on the output of developing nations. A simple political economy model is developed to show the effect of corruption on...

We empirically analyse the impact of trade on income levels in sub-Saharan African countries. The results indicate that the linkage between these two variables is negative for these countries. This outcome may explain the negative sign of the Africa dummy in income (or growth) regressions.

We empirically analyse the impact of trade on income levels in sub-Saharan African countries. The results indicate that the linkage between these two variables is negative for these countries. This outcome may explain the negative sign of the Africa dummy in income (or growth) regressions.

We estimate the effect of imports and exports of intermediates on economic growth in a panel of more than 100 among developed and developing economies across the period 1976-2008. We find that both capital and intermediate imports positively affect growth. The overall effect is driven by the...

This paper derives the impact of market integration on equilibrium firm size and market concentration in horizontally differentiated industries. We show that market concentration (measured by the number of firms) can rise as a consequence of market integration if firms engage in R&D competition....

In this note, we suggest a link between tariff protection and firms' incentives to engage in a horizontal merger. We consider a Cournot oligopoly with equal, constant marginal costs where firms have to decide on lobbying efforts prior to choosing output. These lobbying efforts will determine...

This paper analyzes oligopolistic rivalry among source countries to evaluate the degree of exchange-rate pass-through. The analysis of Japanese imports of DRAMs also contributes to the study of the pass-through of relatively homogenous goods produced in emerging countries, which has been...

Empirical evidences show that technology licensing contracts differ significantly and may consist of only up-front fixed-fee, only output royalty or the combinations of fixed-fee and output royalty. We explain these possibilities under international technology transfer. The trade-off between the...

This article analyses export taxes in a Bertrand duopoly with product differentiation, where a home and a foreign firm both export to a third-country market. It is shown that the maximum-revenue export tax always exceeds the optimum-welfare export tax. In a Nash equilibrium in export taxes, the...

This paper examines which of the Stackelberg leader or its follower has the advantage under strategic subsidy policy in a third market model. We show that even if governments choose export subsidies in whichever of a simultaneous-move or sequential-move game, the leader firm always loses its...