Arbeitspapier

Export taxes under Bertrand duopoly

This article analyses export taxes in a Bertrand duopoly with product differentiation, where a home and a foreign firm both export to a third-country market. It is shown that the maximum-revenue export tax always exceeds the optimum-welfare export tax. In a Nash equilibrium in export taxes, the country with the low cost firm imposes the largest export tax. The results under Bertrand duopoly are compared with those under Cournot duopoly. It is shown that the absolute value of the export subsidy or tax under Cournot duopoly exceeds the export tax under Bertrand duopoly.

Language
Englisch

Bibliographic citation
Series: Cardiff Economics Working Papers ; No. E2006/15

Classification
Wirtschaft
Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
Trade Policy; International Trade Organizations
Oligopoly and Other Imperfect Markets
Subject
Trade Policy
Imperfect Competition
Oligopoly

Event
Geistige Schöpfung
(who)
Clarke, Roger
Collie, David R.
Event
Veröffentlichung
(who)
Cardiff University, Cardiff Business School
(where)
Cardiff
(when)
2006

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Clarke, Roger
  • Collie, David R.
  • Cardiff University, Cardiff Business School

Time of origin

  • 2006

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