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Export subsidies, countervailing duties, and welfare

Author

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  • Yu-Ter Wang

Abstract

Using a simple Cournot duopoly model, this paper provides an important policy implication for trade disputes involving export subsidies. In this paper, the possibility that a foreign export subsidy could benefit the domestic country as well as the foreign country by appropriately using countervailing duties is identified. JEL Classification: F12; F13; L13.

Suggested Citation

  • Yu-Ter Wang, 2005. "Export subsidies, countervailing duties, and welfare," Brazilian Journal of Political Economy, Center of Political Economy, vol. 25(4), pages 391-395.
    • Handle: RePEc:ekm:repojs:v:25:y:2005:i:4:p:391-395:id:649
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    File URL: https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/649/646
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    More about this item

    Keywords

    Export subsidies; Countervailing duties; Welfare; Countervailing percentage; Cost-efficiency;
    All these keywords.

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets

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