The paper develops a two-period, two-country, multigood model with endogenous investment. Borrowing is subject to quantitative restrictions. The authors examine the effect of promoting exports in period 1 on the level of exports in period 2. They consider a number of scenarios depending on how...

This paper provides a welfare comparison of a tariff with a combination of a production subsidy to, and a commodity tax on, an import-competing commodity in a two-country economy. We treat some plausible situations of industry protection, including where the initial tariff is above the optimal...