Globalization" and Relocation in a Vertically Differentiated Industry"

Globalization" and Relocation in a Vertically Differentiated Industry"
This paper uses a vertical differentiation duopoly framework to analyze firms' relocation decisions, when the removal of trade barriers or restrictions on capital outflows or inflows ("globalization") allows them to serve the domestic market through foreign plants in low-wage countries. The relocation of the entire industry yields net welfare... READ MORE...

Publication date: April 1998
ISBN 9781451846713
$15.00

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