Trade Policy Reform: How to win wide-ranging support?
This article analyzes the effects of international trade policies on an imperfect competitive domestic market, taking into account not only consumers but also upstream and downstream firms. We first study the impact of a classic import tax decrease and we find that upstream firms are harmed and domestic fiscal revenues may decrease with such a policy. We then look at the effect of an increase in non-tariff barriers, seen as the lowest degree of substitutability between the domestic good and the imported good. The result is an improvement in each agent’s situation, since international competition becomes less fierce. Last, we show that market conditions may exist such that a coupled policy (import tax decrease and non-tariff barrier increase) makes every agent better off. This can explain why we observe a proliferation of domestic standards at national level in order to back up lower tariff negotiations by governments.
|Date of creation:||Dec 2010|
|Date of revision:|
|Publication status:||Published in Louvain Economic Review - Recherches Economiques de Louvain, vol.�79, n°2, 2013.|
|Contact details of provider:|| Phone: (+33) 5 61 12 86 23|
Web page: http://www.tse-fr.eu/
More information through EDIRC
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.:
- Spencer, Barbara J & Jones, Ronald W, 1991.
"Vertical Foreclosure and International Trade Policy,"
Review of Economic Studies,
Wiley Blackwell, vol. 58(1), pages 153-70, January.
- Jones, R.W. & Spencer, B.J., 1989. "Vertical Foreclosure And International Trade Policy," RCER Working Papers 194, University of Rochester - Center for Economic Research (RCER).
- Barbara J. Spencer & Ronald W. Jones, 1989. "Vertical Foreclosure and International Trade Policy," NBER Working Papers 2920, National Bureau of Economic Research, Inc.
- Regibeau Pierre M & Rockett Katharine E, 2006.
"Administrative Delays as Barriers to Trade,"
The B.E. Journal of Economic Analysis & Policy,
De Gruyter, vol. 5(1), pages 1-47, September.
- Régibeau, Pierre & Rockett, Katharine, 2001. "Administrative Delays as Barriers to Trade," CEPR Discussion Papers 3007, C.E.P.R. Discussion Papers.
- P. Regibeau & K. Rockett, 2003. "Administrative Delays as Barriers to Trade," Economics Discussion Papers 557, University of Essex, Department of Economics.
- Sven Anders & Julie A. Caswell, 2008.
"The Benefits and Costs of Proliferation of Geographical Labelling for Developing Countries,"
2008-7, University of Massachusetts Amherst, Department of Resource Economics.
- Anders, Sven M. & Caswell, Julie A., 2009. "The Benefits and Costs of Proliferation of Geographical Labeling for Developing Countries," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 10(1).
- StÃ©phan Marette & John C. Beghin, 2007.
"Are Standards Always Protectionist?,"
Center for Agricultural and Rural Development (CARD) Publications
07-wp450, Center for Agricultural and Rural Development (CARD) at Iowa State University.
- Marette, Stephan & Beghin, John C., 2010. "Are Standards Always Protectionist?," Staff General Research Papers 12826, Iowa State University, Department of Economics.
- StÃ©phan Marette & John C. Beghin, 2007. "Are Standards Always Protectionist?," Food and Agricultural Policy Research Institute (FAPRI) Publications 07-wp450, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
- Stephan Marette & John Beghin, 2010. "Are standards always protectionist?," Post-Print hal-01172977, HAL.
- Irmen, Andreas, 1997.
"Note on duopolistic vertical restraints,"
European Economic Review,
Elsevier, vol. 41(8), pages 1559-1567, August.
- Andreas IRMEN, 1995. "Note on Duopolistic Vertical Restraints," Cahiers de Recherches Economiques du Département d'Econométrie et d'Economie politique (DEEP) 9507, Université de Lausanne, Faculté des HEC, DEEP.
- repec:inr:wpaper:39380 is not listed on IDEAS
When requesting a correction, please mention this item's handle: RePEc:tse:wpaper:23810. 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: ()
If references are entirely missing, you can add them using this form.