The authors study the dynamics of optimal trade policy in a model with costly intersectoral adjustment of labor, where migrants pay less than the marginal social cost of migration. If workers have rational expectations, a future tariff has an announcement effect on the current migration...

Open-loop Nash extraction plans of exhaustible resource producers (in which producers take the plans of others as given) are time consistent, but proposed open-loop oil import tariffs are almost always time inconsistent. The paper derives a time consistent open-loop Nash tariff that can be...

We study a model in which management and a union bargain over a rule that will later determine the level of employment, and over a wage. The government then chooses an output or an employment subsidy. An exogenous natural turnover rate in the unionised sector creates unemployment whenever the...

Partial cooperation in setting trade and industrial policies may not benefit members of a customs union if exporters outside the union react aggressively. Even if the union comprises the entire noncompetitive sector of industry, cooperation on trade policy may be disadvantageous if industrial...

The author characterizes the Markov perfect tax that induces a common property oligopoly to extract efficiently a nonrenewable resource. For linear and isoelastic demand, he provides closed-form expressions of the unique (specific) tax. Industry profits may be higher or lower in the oligopoly...