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Results-Oriented Trade Policy

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  • Ethier, Wilfred J
  • Horn, Henrik

Abstract

We construct a model of economic policy determination by an executive who controls a domestic policy instrument and who can influence, but not completely control, the conduct of trade policy. The executive exploits a political linkage between the policies. These circumstances can motivate implementation of a results-oriented trade policy by the government of a trading partner. We analyze the implications of such a policy under alternative situations. Copyright 1996 by Blackwell Publishing Ltd.

Suggested Citation

  • Ethier, Wilfred J & Horn, Henrik, 1996. "Results-Oriented Trade Policy," Review of International Economics, Wiley Blackwell, vol. 4(1), pages 17-39, February.
  • Handle: RePEc:bla:reviec:v:4:y:1996:i:1:p:17-39
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    Cited by:

    1. Krishna, Kala & Roy, Suddhasatwa & Thursby, Marie, 1998. "Implementing Market Access," Review of International Economics, Wiley Blackwell, vol. 6(4), pages 529-544, November.
      • Krishna, K & Thursby, M & Roy, S, 1996. "Implementing Market Access," Papers 96-011, Purdue University, Krannert School of Management - Center for International Business Education and Research (CIBER).
      • Krishna, K & Roy, S & Thursby, M, 1996. "Implementaing Market Access," Papers 96-003, Purdue University, Krannert School of Management - Center for International Business Education and Research (CIBER).
      • Kala Krishna & Suddhasatwa Roy & Marie Thursby, 1996. "Implementing Market Access," NBER Working Papers 5593, National Bureau of Economic Research, Inc.
    2. repec:zbw:bofitp:2022_001 is not listed on IDEAS
    3. Greaney, Theresa M., 1996. "Import now! An analysis of market-share voluntary import expansions (VIEs)," Journal of International Economics, Elsevier, vol. 40(1-2), pages 149-163, February.
    4. Paul Wonnacott & Ronald J. Wonnacott, 2011. "The Economic Case for Reciprocal Trade Negotiations: Gains from Both Imports and Exports," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume I, chapter 7, Edward Elgar Publishing.
    5. Michael Funke & Adrian Wende, 2023. "The US–China Phase One trade deal: An economic analysis of the managed trade agreement," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 56(2), pages 758-786, May.
    6. Paul Wonnacott & Ronald Wonnacott, 2005. "What's the Point of Reciprocal Trade Negotiations? Exports, Imports, and Gains from Trade," The World Economy, Wiley Blackwell, vol. 28(1), pages 1-20, January.
    7. Michael Funke & Adrian Wende, 2021. "The US-China Phase One Trade Deal: An Economic Analysis of the Managed Trade Agreement," CESifo Working Paper Series 8945, CESifo.
    8. Greaney, Theresa M., 1999. "Manipulating market shares: The indirect effects of voluntary import expansions (VIEs)," Japan and the World Economy, Elsevier, vol. 11(1), pages 95-113, January.
    9. Kala Krishna & Suddhasatwa Roy & Marie Thursby, 2001. "Can subsidies for MARs be procompetitive?," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 34(1), pages 212-224, February.
    10. Ju, Jiandong & Krishna, Kala, 2000. "Welfare and market access effects of piecemeal tariff reform," Journal of International Economics, Elsevier, vol. 51(2), pages 305-316, August.
    11. Thierry Verdier, 1998. "Results-oriented versus rules-oriented trade policies:: A theoretical survey," European Economic Review, Elsevier, vol. 42(3-5), pages 733-744, May.
    12. Wilfred J. Ethier, 2002. "Unilateralism in a Multilateral World," Economic Journal, Royal Economic Society, vol. 112(479), pages 266-292, April.
    13. Coates, Daniel E. & Ludema, Rodney D., 2001. "A theory of trade policy leadership," Journal of Development Economics, Elsevier, vol. 65(1), pages 1-29, June.
    14. Greaney, Theresa M., 2001. "Promoting Imports to Appease Trade Partners: Japan's New Trade Policies," Journal of the Japanese and International Economies, Elsevier, vol. 15(3), pages 253-270, September.

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