Lahiri, Sajal; Nasim, Anjum; Ghani, Jawaid - In: Journal of development economics 61 (2000) 2, pp. 393-416
This is a theoretical and empirical study of trade policy in a small open economy with intermediate inputs. The first part develops a theoretical model and obtains expressions for optimal second-best tariffs on an intermediate input. In the second part, we estimate, for Pakistan, the optimal...