This paper analyzes the incentives for governments to impose export subsidies when firms invest in a cost saving technology before market competition. Governments first impose an export subsidy or a tax. After observing export policy, firms invest in cost reducing R&D and subsequently compete in...

This paper highlights the importance of product differentiation and endogenous R&D in determining the optimal R&D policy, in a model where investment in cost reducing R&D is committed before firms compete in a differentiated-goods third-country export market. R&D is always taxed in oligopolies...

This manuscript studies the market conduct of the milk manufacturers and retail chains in a Midwestern state in the U.S. Following the menu approach we employ a random coefficient logit demand model to investigate several possible scenarios on the supply side. Demand estimates are obtained using...

This paper investigates the pricing and vertical organization of differentiated products under imperfect competition. In a multiproduct context, a Cournot model is used to examine how substitution/complementarity relationships among products and vertical structures can affect the exercise of...

Market access in the WTO is highly fragmented due to exceptions from GATT principles. Tariff-rate quotas (TRQs) stand in contradiction to the principle of the GATT, according to which all quantitative restrictions in international trade should be eliminated. Bhagwati’s theorem of the...

Este artículo considera un modelo de generaciones solapadas, aplicado a una economía pequeña, abierta al comercio internacional y caracterizada por la existencia de competencia imperfecta en los mercados de bienes y de trabajo, para analizar: i) cuáles fueron los principales determinantes de...

This paper asks how NAFTA affected income distribution within Mexico considering changes in internalmigration. Trade liberalization should theoretically increase the income of low-skilled workers in low-skilled labor-abundantdeveloping countries. Thus, by increasing the wages of poorer workers,...

The U.S. Renewable Fuel Standard program (RFS), which involves mandates for variousbiofuels, is complex and has been often misinterpreted or oversimplified in previous studies.In this paper we analyze the implications of the RFS for the U.S. domestic and international ethanol markets. We...

This study analyzes the sensitivity of trade flows to trade barriers from gravity equations, using different econometric techniques recently highlighted in the literature. Specifically, we compare a benchmark OLS fixed effects specification a la Feenstra (2002) with three emerging estimation...

Colombia negotiated bilateral Trade Agreements (TAs) with the UnitedStates and with the MERCOSUR region (Argentina, Brazil, Paraguay, andUruguay). Colombian cattle and beef interest groups argue that TAshurt the local beef supply chain. We employ a partial equilibriumframework to assess the...