Trading Blocs and Welfare : How Trading Bloc Members Are Affected by New Entrants

How Trading Bloc Members Are Affected by New Entrants

Trading Blocs and Welfare : How Trading Bloc Members Are Affected by New Entrants
This paper uses the three-country duopoly model to examine the effects of lowered trade barriers when a new entrant joins a trading bloc. There are two firms-a small-country firm and a large-country firm within the bloc-and three markets-two within and one (new entrant's) outside the bloc. The analysis generally shows greater gains for the... READ MORE...

Publication date: June 1998
ISBN 9781451850611
$15.00

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