Modeling trade policies under alternative market structures
AbstractThe paper focuses on the importance of assumptions made about market structure and firm behavior in empirical trade policy analysis. The contribution to the relevant literature is 3-fold: first the paper develops two original models which incorporate imperfectly competitive market structures in a spatial modeling framework; then it proposes a procedure to identify the degree of market power in international trading which is consistent with observed prices and traded quantities, and applies it to the banana market; finally, it assesses how analysis of the implications of recent changes in the EU import regimes for bananas (the Economic Partnership Agreements and the December 2009 WTO agreement) is affected by the assumptions made on the prevailing market structure.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Policy Modeling.
Volume (Year): 36 (2014)
Issue (Month): 1 ()
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Web page: http://www.elsevier.com/locate/inca/505735
Spatial models; Imperfect competition; Bananas; Economic Partnership Agreements; WTO;
Find related papers by JEL classification:
- F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
- F17 - International Economics - - Trade - - - Trade Forecasting and Simulation
- Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
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