Arbeitspapier

International Coordination of Quality Standards and Vertical Product Differentiation

I study the influence of minimum quality standards in a partial-equilibrium model of vertical product differentiation and trade in which duopolistic firms face quality-dependent costs and compete in quality and price in two segmented markets. Three alternative standard setting arrangements are Full Harmonization, National Treatment and Mutual Recognition. Under either alternative, standards can be found that increase welfare in both regions. The analysis integrates the choice of a particular standard setting alternative by governments into the model. Mutual Recognition emerges as one regulatory alternative that always improves welfare in both regions when compared to the case without regulation. Under certain cost conditions, both regions will prefer Mutual Recognition over all available alternatives.

Sprache
Englisch

Erschienen in
Series: ZEW Discussion Papers ; No. 03-41

Klassifikation
Wirtschaft
Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
Trade Policy; International Trade Organizations
Oligopoly and Other Imperfect Markets
Thema
product differentiation
oligopoly
trade
quality standards
policy coordination
Normung
international
Produktqualität
Produktdifferenzierung
Oligopol
Außenwirtschaft
Zwei-Länder-Modell
Wohlfahrtseffekt
Theorie
Mutual Recognition

Ereignis
Geistige Schöpfung
(wer)
Lutz, Stefan
Ereignis
Veröffentlichung
(wer)
Zentrum für Europäische Wirtschaftsforschung (ZEW)
(wo)
Mannheim
(wann)
2003

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Lutz, Stefan
  • Zentrum für Europäische Wirtschaftsforschung (ZEW)

Entstanden

  • 2003

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