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Tariff and Equilibrium Indeterminacy--A Note

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Author Info
Zhang, Yan
Chen, Yan

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Abstract

We explore the equivalence between the factor income taxes (in Schmitt-Grohe and Uribe 1997) in the closed economy and the tariff in the open economy, in the sense that they share similar propagation mechanism of sunspot and fundamental shocks under a balanced-budget rule.

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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 10044.

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Date of creation: 12 Jun 2008
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Handle: RePEc:pra:mprapa:10044

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Related research
Keywords: Sunspots; Endogenous Tariff Rate; Comovement;

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Find related papers by JEL classification:
F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy

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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.:
  1. Zhang, Yan, 2008. "Tariff and Equilibrium Indeterminacy--(II)," MPRA Paper 10043, University Library of Munich, Germany. [Downloadable!]
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  2. Zhang, Yan, 2008. "Tariff and Equilibrium Indeterminacy," MPRA Paper 11370, University Library of Munich, Germany. [Downloadable!]
    Other versions:
  3. Luís Francisco Aguiar-Conraria & Yi Wen, 2004. "Foreign Trade and Equilibrium Indeterminacy," NIPE Working Papers 5/2004, NIPE - Universidade do Minho. [Downloadable!]
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  1. Zhang, Yan, 2008. "Tariff and Equilibrium Indeterminacy," MPRA Paper 11370, University Library of Munich, Germany. [Downloadable!]
    Other versions:
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