Title data
Larch, Mario:
Endogenous Tariffs in the Presence of Multinationals.
In: Journal of Institutional and Theoretical Economics.
Vol. 164
(2008)
Issue 3
.
- pp. 534-567.
ISSN 0932-4569
DOI: https://doi.org/10.1628/093245608785363407
Abstract in another language
This paper analyzes the effect of the presence of multinational firms on endogenous tariff rates, using an analytically solvable two-country model with fixed terms of trade. Noncooperative tariffs are lower in the presence of market-seeking (horizontal) foreign direct investment (FDI). Such firms avoid trade and entail a loss of tariff revenues for importing countries. In the case of low-cost-seeking (vertical) FDI, the results are less clear-cut and the noncooperative tariff rate can turn out to be a subsidy. The world-welfare-maximizing policy is an import subsidy.
Further data
Item Type: | Article in a journal |
---|---|
Refereed: | Yes |
Subject classification: | F12, F23 |
Institutions of the University: | Faculties > Faculty of Law, Business and Economics > Department of Economics > Lehrstuhl Volkswirtschaftslehre VI: Empirische Wirtschaftsforschung Faculties > Faculty of Law, Business and Economics > Department of Economics > Lehrstuhl Volkswirtschaftslehre VI: Empirische Wirtschaftsforschung > Lehrstuhl für Volkswirtschaftslehre VI: Empirische Wirtschaftsforschung - Univ.-Prof. Dr. Mario Larch Faculties Faculties > Faculty of Law, Business and Economics Faculties > Faculty of Law, Business and Economics > Department of Economics |
Result of work at the UBT: | No |
DDC Subjects: | 300 Social sciences > 330 Economics |
Date Deposited: | 14 Oct 2015 12:07 |
Last Modified: | 14 Oct 2015 12:07 |
URI: | https://eref.uni-bayreuth.de/id/eprint/16587 |