welfare costs. To avoid this stumbling block effect we suggest replacing unilateral preferences by a fixed import subsidy. We … unilateral preferences to Least Developed Countries to the import subsidy scheme. Even in a model with no dynamic gains to trade …

welfare costs. This stumbling block effect can be avoided by replacing the unilateral preferences with a fixed import subsidy … Union, Japan, and the United States switching from unilateral preferences for least developed countries to an import subsidy …

subsidy. They argue that this scheme would reduce the drag of preferences on multilateral liberalization and generate a Pareto … Japan switching from unilateral preferences to the developing countries to the import subsidy scheme. Even in a model with …