Price-equivalent import tariffs and quotas are compared when domestic production is controlled by a monopolist, say an agricultural marketing board with the power to restrict domestic supply, under endogenous terms of trade. Welfare comparisons boil down to sourcing costs comparisons. Quotas...

Agricultural markets are characterized by production and marketing lags. Uncertainty is also an inherent feature of agricultural markets. This paper investigates if two policy active importers will choose to commit to their import levels or keep the flexibility to revise their ex-ante import...

This paper examines the comparative static effects of rules-based disciplines for government supported export credit arrangements. The arrangements provide traders in the country offering the guarantees more favourable borrowing conditions. This may provide an advantage relative to rival...

Trade theorists have demonstrated that different trade policy instruments have different effects on the quality and source of imports. Countervailing duties (CVDs), like specific tariffs, should induce quality upgrading. However, the magnitude and timing of the quality adjustments are influenced...

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...

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...

Multilateral negotiations on agriculture in the WTO are making very little progress as developed economies are reluctant to bind trade-distorting domestic support and import tariffs at levels acceptable to developing countries. This paper presents the basic Bagwell-Staiger framework as it...

This paper endogenizes the choice between import tariffs and quotas of two policy active countries in a duopsonistic world market. Without uncertainty, import quotas are welfare superior to import tariffs in equilibrium. If two importers can precommit to a type of instrument before deciding the...

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