The basic goal of this paper is to develop an endogenous trade policy model in the Grossman and Helpman (1994) tradition that could endogenise the number of lobby groups in the economy. The game has three stages. In the first stage, the consumer that owns a specific factor decides whether to...

The object of this paper is to show some examples of economies in which singular equilibria occur as a consequence of utility functions and where this equilibria play a crucial rolle to understand the behavior of the economy as a system. An economy will be called singular if little changes in...

This paper sheds some light on two issues related to recent the multilateral trade agreements (Ronda Uruguay of GATT and the creation of WTO). First, are they binding for the design of trade policies in Uruguay? Second, how have they posed restrictions on these policies? In the first chapter a...

The paper studies the distribution of income during the period 1984-1992. Special attention is taken to the remuneration of civil servants during those years and the changes in the adjustment of pensions. The results shows a relative stability in the inequality in the period. The constitutional...

The empirical evidence presented in this paper casts serious doubts on the by now widely accepted "stylized facts" of the exchange rate based stabilization programs (ERBS) as they are stated in Kiguel and Liviatan (1992) and in Végh (1992). Even though the ERBS programs were associated with...

The aim of this work is to analyse the general equilibrium effects of terms of trade shocks in exportable sectors under particular assumptions about labour market. The model used is based on the Blacke et al. (1995) model of the Mauritian economy, modelled as consisting of three productive...

The goal in the present paper is twofold, to shed some light on endogenous dynamic of the welfare states, and to provide a procedure to select among several equilibria. To this end, a dynamic model is presented, in which private agents are assumed to be "locked" to current decisions for a while....