Mai, Chao-Cheng; Peng, Shin-Kun; Tabuchi, Takatoshi - In: Regional Science and Urban Economics 38 (2008) 5, pp. 478-486
A simple two-country model of economic geography is constructed in order to examine the effect of tariff competition on the spatial distribution of manufacturing activities as well as on welfare. We show that when the transport cost is small, tariff competition with firm migration leads to a...
