Advanced Search
MyIDEAS: Login

The Profits Of Firms And Countervailing Duties In Vertically Related Markets

Contents:

Author Info

  • YU-TER WANG

    () (Department of Economics, Ming Chuan University, Taiwan)

Abstract

This paper studies the relationship between the profits of firms and countervailing duties in vertically related markets characterized by oligopolies. It is shown that a countervailing duty equal to the foreign export subsidy is required to neutralize the impact of foreign export subsidies on the profits of domestic firms. The domestic country has an incentive to impose a countervailing duty on foreign final goods even though foreign governments only subsidize exports of intermediate goods. In addition, foreign exporting firms may benefit from a countervailing duty more than a foreign export subsidy.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.worldscinet.com/cgi-bin/details.cgi?type=pdf&id=pii:S0217590810004036
Download Restriction: Access to full text is restricted to subscribers.
File URL: http://www.worldscinet.com/cgi-bin/details.cgi?type=html&id=pii:S0217590810004036
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal The Singapore Economic Review.

Volume (Year): 55 (2010)
Issue (Month): 04 ()
Pages: 749-756

as in new window
Handle: RePEc:wsi:serxxx:v:55:y:2010:i:04:p:749-756

Contact details of provider:
Web page: http://www.worldscinet.com/ser/ser.shtml

Order Information:
Email:

Related research

Keywords: Profits; countervailing duties; foreign export subsidies; vertically related markets; F12; F13; L13;

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Spencer, Barbara J. & Jones, Ronald W., 1992. "Trade and protection in vertically related markets," Journal of International Economics, Elsevier, vol. 32(1-2), pages 31-55, February.
  2. Yu-Ter Wang, 2004. "Countervailing Duties, Foreign Export Subsidies and Import Tariffs," The Japanese Economic Review, Japanese Economic Association, vol. 55(2), pages 153-161.
  3. Sykes, Alan O., 1996. "The economics of injury in antidumping and countervailing duty cases," International Review of Law and Economics, Elsevier, vol. 16(1), pages 5-26, March.
  4. Ishikawa, Jota & Spencer, Barbara J., 1999. "Rent-shifting export subsidies with an imported intermediate product," Journal of International Economics, Elsevier, vol. 48(2), pages 199-232, August.
  5. Carter, Colin & Chadee, Doren & Darko, Kwame, 1999. "Are Subsidies to be Blamed? A Reexamination of U.S. Countervailing Duty on Hog Imports From Canada," Journal of Policy Modeling, Elsevier, vol. 21(7), pages 823-830, December.
  6. GianCarlo Moschini & Karl D. Meilke, 1992. "Production Subsidy and Countervailing Duties in Vertically Related Markets: The Hog-Pork Case Between Canada and the United States," Food and Agricultural Policy Research Institute (FAPRI) Publications 91-gatt6, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
  7. Dixit, Avinash, 1988. "Anti-dumping and countervailing duties under oligopoly," European Economic Review, Elsevier, vol. 32(1), pages 55-68, January.
  8. Kyle Bagwell & Robert W. Staiger, 2006. "Will International Rules on Subsidies Disrupt the World Trading System?," American Economic Review, American Economic Association, vol. 96(3), pages 877-895, June.
  9. Yu-ter Wang, 2008. "Product Differentiation: An Alternative To Cvds," South African Journal of Economics, Economic Society of South Africa, vol. 76(3), pages 513-517, 09.
  10. Collie, David, 1994. "Strategic trade policy and retaliation," Japan and the World Economy, Elsevier, vol. 6(1), pages 75-88.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:wsi:serxxx:v:55:y:2010:i:04:p:749-756

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Tai Tone Lim).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.