In 2018, the US launched a trade war with China, an abrupt departure from its historical leadership in integrating … global markets. By late 2019, the US had tariffed roughly $350 billion of Chinese imports, and China had retaliated on $100 …, China and other countries. This article reviews what we have learned to date from this work …

Import tariffs tend to be higher for final goods than for inputs, a phenomenon commonly referred to as tariff … escalation. Yet neoclassical trade theory - and modern Ricardian trade models, in particular - predict that welfare …-maximizing tariffs are uniform across sectors. We show that tariff escalation can be rationalized on efficiency grounds in the presence …

The primary predictions of strategic-trade theory are not restricted to imperfectly-competitive markets. Indeed, these … predictions emerge in a natural three-country extension of the traditional theory of trade policy in competitive markets, once the … theory is augmented to allow for politically-motivated governments, so that the sign of export policy may be converted from …

interpreted as symptoms of a dispute resolution system in decline. In this paper we propose a theory that can explain these trends … as a result of judicial learning; thus according to our theory such trends represent good news, not bad news. We then …