We develop a model of vertical pricing in which an original manufacturer sets wholesale prices in two markets integrated at the distributor level by parallel imports (PI). In this context we show that if competition policy requires uniform wholesale prices across locations it would push retail...

What we term the firm includes three principal assumptions. First, services of knowledge-based and knowledge-generating activities, such as R&D, can be geographically separated from production and supplied to production facilities at low cost. Second, these knowledge-intensive activities are...

The knowledge-capital (KC) model of MNEs is now a widely adopted empirical approach to explaining the location and production decisions of global firms based on both horizontal and vertical motivations. While most of the existing studies have focused on highly aggregated national data, we extend...

This is a textbook (out of print and copyright reverted to authors) that design for a one-semester course in international trade theory at the advanced undergraduate or beginning graduate level. It systematically examines alternative causes of trade and the consequence of each. A much revised...

Standards and technical regulations exist to protect consumer safety or to achieve other goals, such as ensuring the interoperability of telecommunications systems, for example. Standards and technical regulations can, however, raise substantially both start-up and production costs for firms....

A policy of national exhaustion says that the rights to control distribution, end upon first sale only within a country, thereby permitting rights holders to exclude parallel imports. A policy of international exhaustion states that such rights end upon first sale anywhere, and therefore permits...

The authors consider how service liberalization differs from goods liberalization in terms of welfare, the level and composition of output, and factor prices within a developing economy, in this case Tunisia. Despite recent movements toward liberalization, Tunisian service sectors remain largely...

The point of parallel imports of pharmaceuticals is arbitrage between countries with different prices. For several years, an important issue in the European Union (EU) has been the evident conflict between differing price regulations in the member states, on the one hand, and the consequences of...

Numerous proposals have surfaced recently to incorporate a clause about labor standards in the rules of the World Trade Organization (WTO). Such a clause would require each WTO member to recognize and enforce certain core labor standards: forbidding forced labor, discrimination, and the...