General equilibrium model of international trade has profoundly impacted various sub-disciplines of economics such as development economics, public economics, and environmental economics, among many others. These models continue to inspire younger generations of researchers and are used as...

This paper builds a general equilibrium trade model where a country produces two traded goods and one non-traded public consumption good. The government finances the provision of the public good by taxing the incomes of factors of production, and or by imposing tariffs. Within this framework,...

This paper derives a micro-founded gravity equation in general equilibrium based on a translog demand system that allows for endogenous markups and rich substitution patterns across goods. In contrast to standard CES-based gravity equations, trade is more sensitive to trade costs if the...

We explore how outcomes of trade policy retaliation (Nash tariff games) are affected when trade simultaneously takes places geographically across countries and through time via financial intermediation. In such models deficits and surpluses in goods trade are endogenously determined, and...

This paper estimates the trade, revenue, and welfare effects of the proposed Caribbean Community (CARICOM)-Canada free trade agreement (FTA) on CARICOM countries using a partial equilibrium model. The welfare analysis also takes into account the Economic Partnership Agreement, which was signed...

On the eve of its 60th anniversary, the gravity model of trade is a "celebrity", due to its intuitive appeal, solid theoretical foundations, and remarkable empirical success. Yet, many economists still view gravity simply as an intuitive but naive reduced-form estimating equation and apply it...

The main objective of this paper is to assess the potential effects of the WTO agreements on income distribution and welfare in Côte d'Ivoire. For this purpose, a dynamic CGE model is used to analyze the impacts of three scenarios ranging from partial and complete unilateral trade...

In this paper, we investigate the mechanisms through which import tariffs impact the macroeconomy in two large scale workhorse models used for quantitative policy analysis: a computational general equilibrium (CGE) model (Purdue University GTAP model) and a multi-country dynamic stochastic...

We explore how outcomes of trade policy retaliation (Nash tariff games) are affected when trade simultaneously takes places geographically across countries and through time via financial intermediation. In such models deficits and surpluses in goods trade are endogenously determined, and...

In this paper, we study the impact of Canada's adoption of protectionist trade policy in 1879 on Canadian welfare. Under the National Policy the Canadian average weighted tariff increased from 14% to 21%. The conventional view is that this was a distortionary policy that negatively affected...