IDEAS home Printed from https://ideas.repec.org/p/ctl/louvre/1993033.html
   My bibliography  Save this paper

Trade Liberalization and Oligopolistic Industries : A Welfare Appraisal

Author

Listed:
  • Tito CORDELLA

    (Université Catholique de Louvain)

Abstract

Cet article essaie d'évaluer, à travers un exemple, les effets en termes de bien-être de la libéralisation des échanges intra-industriels entre deux pays. Si il est vrai que la libéralisation des échanges accroît le bien être « mondial », sous certaines conditions un des deux pays peut avoir intérêt à conserver une situation d'autarcie. Les paramètres qui nous permettrons de juger du caractère bénéfique de l'ouverture du marché domestique à la compétition étrangère sont les tailles relatives des marchés interne et étranger, ainsi que la taille de l'industrie considérée. La prescription de libre-échange sur base unilatérale est valide seulement si l'industrie étrangère est très compétitive et, seulement dans ce cas, les gains des consommateurs compensent les pertes des producteurs. Finalement nous montrons que, si les politiques commerciales sont décidées d'une façon non-cooperative, le libre-échange ne peut jamais être un équilibre de Nash.

Suggested Citation

  • Tito CORDELLA, 1993. "Trade Liberalization and Oligopolistic Industries : A Welfare Appraisal," Discussion Papers (REL - Recherches Economiques de Louvain) 1993033, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  • Handle: RePEc:ctl:louvre:1993033
    as

    Download full text from publisher

    File URL: http://www.jstor.org/stable/40724027
    Download Restriction: no

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Leal, Mariel & Garcia, Arturo & Lee, Sang-Ho, 2017. "Effects of globalizing a consumer-friendly firm into an asymmetric mixed duopoly," MPRA Paper 83512, University Library of Munich, Germany.
    2. Rabah Amir & Jim Y. Jin & Michael Troge, 2015. "Free Trade vs. Autarky under Asymmetric Cournot Oligopoly," Discussion Paper Series, Department of Economics 201509, Department of Economics, University of St. Andrews.
    3. Ana Mauleon & Huasheng Song & Vincent Vannetelbosch, 2010. "Networks of Free Trade Agreements among Heterogeneous Countries," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 12(3), pages 471-500, June.
    4. Antonio Cabrales & Massimo Motta, 1996. "Country asymmetries, endogenous product choice and the speed of trade liberalization," Economics Working Papers 259, Department of Economics and Business, Universitat Pompeu Fabra, revised Jan 1998.
    5. Moner-Colonques, Rafael, 1998. "Cost uncertainty and trade liberalization in international oligopoly," Journal of International Economics, Elsevier, vol. 45(2), pages 369-376, August.
    6. Sugata Marjit & Arijit Mukherjee, 2015. "Endogenous Market Structure, Trade Cost Reduction, and Welfare," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 171(3), pages 493-511, September.
    7. Tharakan, Joe & Thisse, Jacques-Francois, 2002. "The importance of being small. Or when countries are areas and not points," Regional Science and Urban Economics, Elsevier, vol. 32(3), pages 381-408, May.
    8. José J. Sempere Monerris & Rafael Moner Colonques & Amparo Urbano Salvador, 2010. "Trade liberalization in vertically related markets," Working Papers. Serie AD 2010-09, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    9. Cabrales, Antonio & Motta, Massimo, 2001. "Country asymmetries, endogenous product choice and the timing of trade liberalization," European Economic Review, Elsevier, vol. 45(1), pages 87-107, January.
    10. Tsai, Yingyi & Mukherjee, Arijit & Chen, Jong-Rong, 2016. "Host market competition, foreign FDI and domestic welfare," International Review of Economics & Finance, Elsevier, vol. 42(C), pages 13-22.

    More about this item

    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

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ctl:louvre:1993033. 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: (Sebastien SCHILLINGS). General contact details of provider: http://edirc.repec.org/data/iruclbe.html .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.