Elasticities of substitution among U.S. imports from Mexico, Canada, the rest of the world, and competing domestic production are estimated for twenty-two mining and manufacturing sectors, based on quarterly data for 1980-88. These elasticities will provide a benchmark for computable general...

This paper demonstrates that liberalizing trade in services, while yielding efficiency gains associated with comparative advantage, may yield additional gains for both importing and exporting countries because of an increased division of labor. A model is developed in which producer services...

This paper examines the implications of international returns to scale and globalization of production for commercial policy. Though national returns justify subsidization for small countries, the first-best policy for small countries acting on their own under international returns is free...

In this paper, the authors examine the economic consequences of existing U.S. restrictions on trade in domestic water transportation (cabotage) services. They briefly trace the history of U.S. policy on cabotage. The authors also use an applied general equilibrium model of the United States to...