The view that US businesses are being unfairly hurt by barriers to access in foreign markets has raised demands for market access requirements (MARs) from within US industry and government alike. We show that, contrary to the prevailing wisdom of the recent literature, MARs can be implemented in a procompetitive manner. The basic idea is that the requirement must be implemented in a way that provides the right incentives for increasing aggregate output or lowering prices.
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Paper provided by Purdue University, Krannert School of Management - Center for International Business Education and Research (CIBER) in its series Papers with number
97-006.
Length: 13 pages Date of creation: 1997 Date of revision: Handle: RePEc:fth:purkib:97-006
Contact details of provider: Postal: Purdue University, Center for International Business Education and Research, Krannert Graduate School of Management, 1310 Krannert Building West Lafayette, Indiana 47907-1310. Web page: http://www.krannert.purdue.edu/ More information through EDIRC
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