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International Trade, Cartels, Customs Unions And Centrally Planned Economies

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  • Chambers, Robert G.

Abstract

A simple 2 x 2 model of international trade is used to demonstrate that an international cartel or customs unions, with monopoly power in trade, may prefer autarky to tariff protected trade if a distortionary wage differential exists. Com— parative static results are also investigated.

Suggested Citation

  • Chambers, Robert G., 1979. "International Trade, Cartels, Customs Unions And Centrally Planned Economies," 1979 Annual Meeting, July 29-August 1, Pullman, Washington 278298, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea79:278298
    DOI: 10.22004/ag.econ.278298
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    References listed on IDEAS

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    1. Silberberg, Eugene, 1974. "A revision of comparative statics methodology in economics, or, how to do comparative statics on the back of an envelope," Journal of Economic Theory, Elsevier, vol. 7(2), pages 159-172, February.
    2. Harry G. Johnson, 1965. "An Economic Theory of Protectionism, Tariff Bargaining, and the Formation of Customs Unions," Journal of Political Economy, University of Chicago Press, vol. 73(3), pages 256-256.
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