We analyze non-cooperative environmental policy when the only strategic interaction between countries is through bilateral transboundary pollution, i.e., countries are closed or small open economies. Under simultaneous moves, there is no carbon leakage. However, in the sequential-move game,...

We analyze the effects of trade liberalization on environmental policies in a strategic setting when there is transboundary pollution. Trade liberalization can result in a race to the bottom in environmental taxes, which makes both countries worse. This is not due to the terms of trade motive,...

Using data on licensing of registered nurses (RNs) in Iowa and results of a labor-market survey sent to a subsample of the database, we investigate the factors influencing the decision to renew a nursing license or not. A disproportionate share of those who donï¾’t renew do so due to...

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We use a standard general equilibrium trade model to show that export and import policies are not symmetric in the equilibrium of a strategic game with quotas. We assume N (identical) large countries non-cooperatively set their import (or export) quotas to maximize domestic welfare. We show that...

This paper analyzes the optimal production and hedging decisions for firms facing futures price, basis and production risk, assuming futures and options can be used. Using CARA (constant absolute risk aversion) utility and normal distributions, we derive an exact solution and show that joint...

This paper uses a Stockman-Dellas type two-country, two-good, stochastic general equilibrium model to consider the effects of commercial policy when asset markets are complete. We show that: (i) import and export tariffs do not have symmetric effects because interstate relative prices depend on...

We investigate the strategic behavior between exporting countries that face endogenous terms of trade on the world market. In a non-cooperative setting, if production decisions occur before consumption decisions, the ex-ante optimal export quota is not time consistent as the ex-post elasticity...