Export Subsidies in Competitive Markets

descriptionPublicationkeyboard_double_arrow_right Article , Other literature type 01 Jan 2010 English Publisher:Elsevier BVJournal:SSRN Electronic Journal (eissn: 1556-5068,

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Authors: Paul Tompkinson;

doi: 10.2139/ssrn.1593822

Export Subsidies in Competitive Markets

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Abstract

This note points out that the treatment by many texts of export subsidies in a competitive market contains an error. The error is shown to be present in both partial equilibrium and general equilibrium models. The paper also considers the ranking of export subsidies, production subsidies and a combined policy consisting of a tariff and an export subsidy when the government has a non-economic objective.

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Victoria University of Wellington
New Zealand

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