allowing for three different instruments: tariffs, export taxes and production subsidies. For each instrument, we consider …’ choices and modeling general equilibrium effects of taxes/tariffs, we find – contrary to the results of previous studies … of trade. In the cases of tariffs and export taxes results depend crucially on whether the free trade allocation is …

different instruments: tariffs, export taxes and production subsidies. For each instrument we consider unilateral trade policy … general equilibrium effects of taxes/tariffs, we find that production subsidies are always inefficiently low and driven by … terms of trade effects. In the cases of tariffs and export taxes the home market effect prevails for some parameter …

as tariffs, can continue to disadvantage foreign firms. We analyze the bidding strategies in such a game and show that … when domestic profits are valued, tariffs will be used to discriminate against foreign firms. Furthermore, we find that … optimal tariffs can be more protectionist than the optimal price preference, resulting in lower expected domestic welfare and …

as tariffs, can continue to disadvantage foreign firms. We analyze the bidding strategies in such a game and show that … when domestic profits are valued, tariffs will be used to discriminate against foreign firms. Furthermore, we find that … optimal tariffs can be more protectionist than the optimal price preference, resulting in lower expected domestic welfare and …

import tariffs on a destination market are associated with less pricing-to-market, whereas non-tariff measures are associated …

country's relative size or relative average productivity. Furthermore, in the two-country Nash equilibrium, tariffs turn out … to be strategic substitutes. Small or poor economies set lower Nash tariffs than large or rich ones. Lower transportation … costs or smaller fixed market entry costs induce higher equilibrium tariffs and larger welfare losses relative to the case …

WTO negotiations deal predominantly with bound - besides applied - tariff rates. But, how can reductions in tariffs … from the real options literature; doing so we highlight the important role of bound tariffs at the extensive margin of … trade. We find that bound tariffs are more effective with higher risk destination markets, that a large binding overhang may …