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Market Structure and Trade Liberalization A General Equilibrium Assessment

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  • Harris, Richard G.

Abstract

The paper examined the consequences of a 50 percent cut of tariff and non-tariff trade barriers within an applied general equilibrium model of the Canadian economy. The large welfare gains are explained in terms of scale economics and the procompetitive effects of import competition. Some sensitivity results are also reported.

Suggested Citation

  • Harris, Richard G., 1981. "Market Structure and Trade Liberalization A General Equilibrium Assessment," Queen's Institute for Economic Research Discussion Papers 275196, Queen's University - Department of Economics.
    • Handle: RePEc:ags:queddp:275196
    DOI: 10.22004/ag.econ.275196
    as

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    References listed on IDEAS

    as
    1. Cox, David & Harris, Richard, 1985. "Trade Liberalization and Industrial Organization: Some Estimates for Canada," Journal of Political Economy, University of Chicago Press, vol. 93(1), pages 115-145, February.
    2. Helpman, Elhanan, 1981. "International trade in the presence of product differentiation, economies of scale and monopolistic competition : A Chamberlin-Heckscher-Ohlin approach," Journal of International Economics, Elsevier, vol. 11(3), pages 305-340, August.
    3. Elie Appelbaum & Ulrich R. Kohli, 1979. "Canada-United States Trade: Tests for the Small-Open-Economy Hypothesis," Canadian Journal of Economics, Canadian Economics Association, vol. 12(1), pages 1-14, February.
    4. Fuss, Melvyn A. & Gupta, Vinod K., 1981. "A cost function approach to the estimation of minimum efficient scale, returns to scale, and suboptimal capacity : With an application to Canadian manufacturing," European Economic Review, Elsevier, vol. 15(2), pages 123-135.
    5. Corden, W M, 1972. "Economies of Scale and Customs Union Theory," Journal of Political Economy, University of Chicago Press, vol. 80(3), pages 465-475, May-June.
    6. Paul Wonnacott & Ronald J. Wonnacott, 1982. "Free Trade between the United States and Canada: Fifteen Years Later," Canadian Public Policy, University of Toronto Press, vol. 8(s1), pages 412-427, October.
    7. Harris, Richard, 1984. "Applied General Equilibrium Analysis of Small Open Economies with Scale Economies and Imperfect Competition," American Economic Review, American Economic Association, vol. 74(5), pages 1016-1032, December.
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