
doi: 10.2139/ssrn.922670
handle: 10419/25809
We develop a simple two country model of international trade that assumes that there is a fixed cost of doing international trade. We show that this leads to multiple equilibria that can be Pareto-ranked. We examine the stability properties of these equilibria.
F1, ddc:330, F11
F1, ddc:330, F11
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