This paper analyzes how international side-payments can be used to facilitate international trade negotiations. The authors present a model where many countries trade many goods and they calculate, by use of the Shapley value, international income transfers that will induce nations to eliminate their distortionary trade policies. Copyright 1994 by The London School of Economics and Political Science.
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Article provided by London School of Economics and Political Science in its journal Economica.
Volume (Year): 61 (1994) Issue (Month): 243 (August) Pages: 301-17 Download reference. The following formats are available: HTML,
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Kyle Bagwell & Robert W. Staiger, 1999.
"An Economic Theory of GATT,"
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American Economic Association, vol. 89(1), pages 215-248, March.
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