Can subsidies for MARs be procompetitive?
In contrast to recent literature, we show that market access requirements (MARs) can be implemented in a procompetitive manner even in the absence of threats in related markets. By focusing on subsidies that are paid only when the requirement is met, we show that a MAR can increase aggregate output relative to free trade provided that the right set of firms is targeted. In the context of a model with multiple Japanese and U.S. firms, we show that a MAR on U.S. imports is procompetitive as long as the U.S. firms are the ones targeted to receive the subsidy.
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.
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.
Volume (Year): 34 (2001)
Issue (Month): 1 (February)
|Contact details of provider:|| Postal: |
Web page: http://economics.ca/cje/
More information through EDIRC
|Order Information:|| Web: http://economics.ca/en/membership.php Email: |
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.:
- Ethier, Wilfred J & Horn, Henrik, 1996.
"Results-Oriented Trade Policy,"
Review of International Economics,
Wiley Blackwell, vol. 4(1), pages 17-39, February.
- Krishna, Kala & Morgan, John, 1998.
"Implementing results-oriented trade policies: The case of the US-Japanese auto parts dispute,"
European Economic Review,
Elsevier, vol. 42(8), pages 1443-1467, September.
- Kala Krishna & John Morgan, 1996. "Implementing Results-Oriented Trade Policies: The Case of the US-Japanese Auto Parts Dispute," NBER Working Papers 5680, National Bureau of Economic Research, Inc.
- Douglas A. Irwin, 1994. "Managed Trade," Books, American Enterprise Institute, number 51697, 3.
- Kala Krishna & Suddhasatwa Roy & Marie Thursby, 1997. "Procompetitive Market Access," NBER Working Papers 6184, National Bureau of Economic Research, Inc.
- Douglas A. Irwin, 1994.
"Trade Politics and the Semi-conductor Industry,"
University of Chicago - George G. Stigler Center for Study of Economy and State
92, Chicago - Center for Study of Economy and State.
- Krishna, K & Thursby, M & Roy, S, 1996.
"Implementing Market Access,"
96-011, Purdue University, Krannert School of Management - Center for International Business Education and Research (CIBER).
- Kala Krishna & Suddhasatwa Roy & Marie Thursby, 1996. "Implementing Market Access," NBER Working Papers 5593, National Bureau of Economic Research, Inc.
- Krishna, K & Roy, S & Thursby, M, 1996. "Implementaing Market Access," Papers 96-003, Purdue University, Krannert School of Management - Center for International Business Education and Research (CIBER).
- Douglas A. Irwin, 1996.
"Trade Policies and the Semiconductor Industry,"
in: The Political Economy of American Trade Policy, pages 11-72
National Bureau of Economic Research, Inc.
- Greaney, Theresa M., 1996. "Import now! An analysis of market-share voluntary import expansions (VIEs)," Journal of International Economics, Elsevier, vol. 40(1-2), pages 149-163, February.
- Thierry Verdier, 1998. "Results-oriented versus rules-oriented trade policies:: A theoretical survey," European Economic Review, Elsevier, vol. 42(3-5), pages 733-744, May.
When requesting a correction, please mention this item's handle: RePEc:cje:issued:v:34:y:2001:i:1:p:212-224. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Prof. Werner Antweiler)
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.