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The paper explores the effect of protection lobbying by solving a firm's dynamic optimization problem where there is uncertainty about future demand, the success of lobbying and non-zero entry/exit costs. It is found that firms in declining industries tend to lobby to prevent shutting down...
Persistent link: https://www.econbiz.de/10005470979
Persistent link: https://www.econbiz.de/10006082794
The objective of this paper is to examine the effects of political asymmetries on a FTA and a CU. I have shown that either a higher lobbying sensitivity to the foreign firm or a more susceptibility of politicians to lobbying are sufficient to lead to a higher tariff protection at the individual...
Persistent link: https://www.econbiz.de/10009318895
Persistent link: https://www.econbiz.de/10010562027
In this paper we explore the effect of protection lobbying by solving a firm's dynamic optimisation problem where there is uncertainty about future demand, the success of lobbying and non-zero entry/exit costs. We find out that the firms in declining industries tend to lobbying in economic...
Persistent link: https://www.econbiz.de/10012784855