Arbeitspapier

Optimal Tariffs and Subsidies And Changes in Markets Structure

We present a unified treatment of optimal trade policy for a small country. The well-known results for duopoly and competitive markets emerge as benchmark cases of our model. In addition, we show that changes in market structure have non-monotonic effects on optimal tariffs. Our results suggest that the recent reduction of tariffs in Eastern Europe is consistent with welfare maximizing trade policy in response to the substantial changes in the market structure of these countries.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 369

Classification
Wirtschaft
Subject
Market structure
strategic trade policy
rent shifting

Event
Geistige Schöpfung
(who)
Egli, Dominik
Westermann, Frank
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2000

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Egli, Dominik
  • Westermann, Frank
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2000

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