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Who Gains From Tariff Escalation?

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  • Guha-Khasnobis, Basudeb

    ()
    (United Nations University-World Institute)

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    Abstract

    With the help of a simple model of production and trade, we examine the differential impact of tariff escalation on skilled and unskilled wages in an economy. Our findings provide a lobbying-based explanation of the prevalence of tariff escalation in developed countries. It also predicts the possible response of the developing country and shows how similar lobbying activity in that country can slow the pace of liberalization of service sector trade.

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    Bibliographic Info

    Article provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.

    Volume (Year): 19 (2004)
    Issue (Month): ()
    Pages: 416-425

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    Handle: RePEc:ris:integr:0282

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    Web page: http://econo.sejong.ac.kr/
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    Related research

    Keywords: Escalation; Tariff; Lobby; Developing country; WTO;

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