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Authors: Tsaur, Tien-wang
Chu, Mei-Lie
Contributors: 經濟系
Date: 1991-01
Issue Date: 2018-10-23 17:11:31 (UTC+8)
Abstract: Given that the host country has the monopoly power in the exportable market, this paper has been concerned with the optimum tariffs in a specific model where the internationally mobile capital is specific to the import-competing sector. The distinctive feature of this paper is approaching the optimal trade policies as an illustration of the theory of second-best. The second-best tariff rate depends on the given rate of tax on foreign capital yields. When the tax on foreign investment is greater (smaller) than the optimum rate, a tariff greater (smaller) than the traditional formula is required to correct the distortion and restore the equilibrium.
Relation: ECONOMICS LETTERS, 35(1), 71-78
Data Type: article
DOI 連結:
Appears in Collections:[經濟學系] 期刊論文

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