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Content Protection, Urban Unemployment and Welfare

Author

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  • Chi-Chur Chao
  • Eden S. H. Yu

Abstract

A three-sector general equilibrium model is developed to examine the resource allocation and welfare effects of domestic content protection. An increase in domestic content requirements lowers the urban unemployment ratio, the production of the domestic intermediate good, the import of the foreign intermediate good, and the national welfare.

Suggested Citation

  • Chi-Chur Chao & Eden S. H. Yu, 1993. "Content Protection, Urban Unemployment and Welfare," Canadian Journal of Economics, Canadian Economics Association, vol. 26(2), pages 481-492, May.
  • Handle: RePEc:cje:issued:v:26:y:1993:i:2:p:481-92
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    Cited by:

    1. Chao, Chi-Chur & Yu, Eden S. H., 1995. "The shadow price of foreign exchange in a dual economy," Journal of Development Economics, Elsevier, vol. 46(1), pages 195-202, February.
    2. Choi, E. Kwan & Choi, Jai-Young, 2013. "Financial advantage, outsourcing and FDI under wage uncertainty," The North American Journal of Economics and Finance, Elsevier, vol. 24(C), pages 260-267.
    3. Kwon, Chul-Woo & Chun, Bong Geul, 2015. "The effect of strategic technology adoptions by local firms on technology spillover," Economic Modelling, Elsevier, vol. 51(C), pages 13-20.
    4. M. Ali Khan, 2007. "The Harris-Todaro Hypothesis," Labor Economics Working Papers 22206, East Asian Bureau of Economic Research.
    5. E. Kwan Choi, Jai-Young Choi, 2010. "To Outsource or Not To Outsource in North-South Trade," Frontiers in Finance and Economics, SKEMA Business School, vol. 7(1), pages 60-81, April.
    6. Choi, E. Kwan, 2007. "To outsource or not to outsource in an integrated world," International Review of Economics & Finance, Elsevier, vol. 16(4), pages 521-527.
    7. Qiu, Larry D. & Tao, Zhigang, 2001. "Export, foreign direct investment, and local content requirement," Journal of Development Economics, Elsevier, vol. 66(1), pages 101-125, October.
    8. Fung, Michael Ka-Yiu & Zeng, Jinli, 1997. "Equity control of multinational firms in an economic growth model with urban unemployment," International Review of Economics & Finance, Elsevier, vol. 6(3), pages 287-301.
    9. repec:eee:joreco:v:21:y:2014:i:4:p:449-459 is not listed on IDEAS
    10. Yu, Eden S. H. & Chi-Chur, Chao, 1996. "Are wholly foreign-owned enterprises better than joint ventures?," Journal of International Economics, Elsevier, vol. 40(1-2), pages 225-237, February.
    11. Chul-Woo Kwon & Bong Geul Chun, 2009. "Local Content Requirement under Vertical Technology Diffusion," Review of Development Economics, Wiley Blackwell, vol. 13(1), pages 111-124, February.
    12. Jie-A-Joen,Clive & Belderbos,René & Sleuwaegen,Leo, 1998. "Local content requirements, vertical cooperation, and foreign direct investment," Research Memorandum 001, Maastricht University, Netherlands Institute of Business Organization and Strategy Research (NIBOR).
    13. Choi, Jai-Young, 2016. "International outsourcing, terms of trade and non-immiserization," International Review of Economics & Finance, Elsevier, vol. 43(C), pages 222-233.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models

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