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Dynamic Trade Policy

Author

Listed:
  • Park, Eun-Soo

    (West Virginia University)

Abstract

This paper considers a dynamic model of strategic export subsidy/tax game in which governments have an option of choosing open-loop or closed-loop trade policies. In a simple two-period Bertrand duopoly model, it is shown that all subgame-perfect equilibria are asymmetric even when the underlying game is symmetric.

Suggested Citation

  • Park, Eun-Soo, 1997. "Dynamic Trade Policy," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 12, pages 561-571.
    • Handle: RePEc:ris:integr:0063
    as

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    More about this item

    Keywords

    Dynamic; Trade; Policy;
    All these keywords.

    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

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