Hatzipanayotou, Panos; Michael, Michael S. - In: Canadian Journal of Economics 30 (1997) 1, pp. 42-56
We develop a small open-economy trade model where either a tariff, or a quota, or a voluntary export restraint (VER) exists, and where one exported, one imported, one non-traded, and one public good are produced. Within this context we examine the effects of fiscal expansion on welfare and the...