"Trade theorists agree that barriers to trade are declining. Still more progress could be made if trade barriers and government interventions were eliminated. One area in which government interference can and should be vastly reduced is that of agricultural production in general and US cotton...

When firms engaged in R&D are observably heterogeneous (in size) and policymakers are able to condition policy on the observed heterogeneity, what is the optimal policy? This paper starts with a static two-stage duopoly model of R&D competition with uncertainty and finds it welfare enhancing to...