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Strategic Trade Policy in a Vertical Structure with Cross Ownership

In: International Trade, Resource Mobility and Adjustments in a Changing World

Author

Listed:
  • Arijit Mukherjee

    (Nottingham University Business School
    Loughborough University
    CESifo
    RCIE, City University of Hong Kong)

  • Uday Bhanu Sinha

    (University of Delhi)

Abstract

We consider an economy where the final goods producers use a key input supplied by a foreign monopolist. We show how different types of passive cross ownership affect export tax/subsidy policies in the final goods industry. In this respect, we show the implications of the input supplier’s pricing strategies (uniform versus discriminatory pricing).

Suggested Citation

  • Arijit Mukherjee & Uday Bhanu Sinha, 2024. "Strategic Trade Policy in a Vertical Structure with Cross Ownership," Contributions to Economics, in: Sugata Marjit & Biswajit Mandal (ed.), International Trade, Resource Mobility and Adjustments in a Changing World, chapter 0, pages 315-324, Springer.
    • Handle: RePEc:spr:conchp:978-981-97-5652-0_14
    DOI: 10.1007/978-981-97-5652-0_14
    as

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