Arbeitspapier
Tariffs versus production subsidies as industry protection
This paper provides a welfare comparison of a tariff with a combination of a production subsidy to, and a commodity tax on, an import-competing commodity in a two-country economy. We treat some plausible situations of industry protection, including where the initial tariff is above the optimal tariff, where a certain output level of a tariff-imposed commodity must be maintained, and where there is positive externality of its domestic production. In those cases we explore the optimal combination of the production subsidy and the commodity tax and show it to be superior to the tariff from the welfare viewpoint.
- Language
-
Englisch
- Bibliographic citation
-
Series: ISER Discussion Paper ; No. 865
- Classification
-
Wirtschaft
Neoclassical Models of Trade
Trade Policy; International Trade Organizations
Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies
- Subject
-
Commodity Tax
Production Subsidy
Tariff
Industry Protection
Verbrauchsteuer
Exportsubvention
Subvention
Wohlfahrtsanalyse
Zwei-Länder-Modell
Theorie
- Event
-
Geistige Schöpfung
- (who)
-
Ogawa, Yoshitomo
Ono, Yoshiyasu
- Event
-
Veröffentlichung
- (who)
-
Osaka University, Institute of Social and Economic Research (ISER)
- (where)
-
Osaka
- (when)
-
2013
- Handle
- Last update
-
20.09.2024, 8:24 AM CEST
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Ogawa, Yoshitomo
- Ono, Yoshiyasu
- Osaka University, Institute of Social and Economic Research (ISER)
Time of origin
- 2013