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From Segmented Markets to Integrated Markets: An Analysis of Economic Integration and Antidumping Law

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Author Info

  • Ishikawa, Jota

Abstract

This paper examines the effects of a movement from segmented markets to integrated markets on the volume of trade, consumer prices, and profits in a monopoly model. The monopolist discriminates prices among segmented markets but takes account of arbitrage under integrated markets. The analysis provides interesting insights into economic integration and antidumping law. Surprising results are that neither consumers nor monopolist may gain from economic integration; and that an antidumping suit may benefit consumers at the cost of producers. Whether consumers benefit or not depends on the shape of marginal cost, the curvature of demand curves, the presence of trade tax, and the existence of the third countries.

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File URL: http://hermes-ir.lib.hit-u.ac.jp/rs/bitstream/10086/17027/1/070econDP00-01.pdf
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Bibliographic Info

Paper provided by Graduate School of Economics, Hitotsubashi University in its series Discussion Papers with number 2000-01.

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Length: 26, [4], 1 p.
Date of creation: Jan 2000
Date of revision:
Handle: RePEc:hit:econdp:2000-01

Note: This version: January 6, 2000 (First draft: January 1999)
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Phone: +81-42-580-8000
Web page: http://www.econ.hit-u.ac.jp/
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Related research

Keywords: monopoly; price discrimination; segmented markets; integrated markets; economic integration; antidumping law;

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Cited by:
  1. Kenji Fujiwara, 2012. "A Win-Win-Win Tariff-Tax Reform under Imperfect Competition," Discussion Paper Series 83, School of Economics, Kwansei Gakuin University, revised Feb 2012.
  2. Jota Ishikawa & Eiji Horiuchi, 2012. "Strategic Foreign Direct Investment in Vertically Related Markets," The Economic Record, The Economic Society of Australia, vol. 88(281), pages 229-242, 06.

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