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equilibrium models of trade. We follow a dual approach, highlighting how general equilibrium distributional aspects of social … inequality results in trade theory that are focused strictly on functional rather than household inequality. As an application of … for a broad class of models. -- Sen welfare functions ; duality ; political economy of equity …
Persistent link: https://www.econbiz.de/10009239049
In this paper we examine the empirical relevance of three prominent endogenous protection models. Is protection for …) and the Tariff Function (Findlay and Wellisz, 1982) models are significant at the one percent level. Novel is our … application of a single, unified theoretical framework to take strict interpretations of the three theoretical models to the data …
Persistent link: https://www.econbiz.de/10011397792
that time-varying trade barriers may be another channel for market instability. …We develop a simple two-region, cobweb-type dynamic equilibrium model to demonstrate the existence of optimal trade … barriers. A pure comparative statics analysis of our model suggests that a reduction of trade barriers always enhances welfare …
Persistent link: https://www.econbiz.de/10010204785
economy models either yield no prediction on the bias of the trade regime, or predict, counterfactually, a bias towards the …Rodrik (1995) notes that trade regimes tend to be biased towards import protection. Meanwhile, the standard political …
Persistent link: https://www.econbiz.de/10012731200
This paper asks whether the results obtained from using the standard approach to testing the influential Grossman and Helpman protection for sale (PFS) model of political economy might arise from a simpler setting. A model of imports and quotas with protection occurring in response to import...
Persistent link: https://www.econbiz.de/10012733666
The vast majority of the books and articles that have been written over the past few centuries about trade policy in … general and protectionism in particular have been written from a utilitarian perspective. Indeed, it would only be a slight … overstatement to say that the only works written about protectionism have been written from a utilitarian perspective. The reason …
Persistent link: https://www.econbiz.de/10012980538
In a model of strategic interaction between firms in lobbying activity, I show that capitalists might prefer tariffs (protection) to production subsidies (promotion). This is due to the congestion problem arising from the government's convex welfare costs of providing subsidies as opposed to...
Persistent link: https://www.econbiz.de/10014153028
politically organized sectors with specific regard to trade policy. Second, we utilize two alternative measures of trade … protection (ad-valorem equivalent of non-tariff barriers and overall restrictiveness) and adopt industrial and trade data at a …
Persistent link: https://www.econbiz.de/10014052275
This paper explains why trade liberalizations occur in developing countries, and why they are often reversed. It does … quality upgrades to keep up with foreign competitors. Given the availability of a political market for import tariffs … lobbying effort over time, and on their implications for the timing and the time horizon of trade reforms in developing …
Persistent link: https://www.econbiz.de/10014057232
This chapter surveys research on the demand for protectionism as well as theoretical and empirical work on the (i …
Persistent link: https://www.econbiz.de/10014023458