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This paper develops a two-country model of international trade in which citizens who are heterogeneous with respect to their factor endowments vote over tariffs and income tax rates. In the politico-economic equilibrium, each country chooses its national policies by majority voting, taking the...
Persistent link: https://www.econbiz.de/10008544214
Persistent link: https://www.econbiz.de/10003899096
This paper develops a two-country model of international trade in which citizens who are heterogeneous with respect to their factor endowments vote over tariffs and income tax rates. In the politico-economic equilibrium, each country chooses its national policies by majority voting, taking the...
Persistent link: https://www.econbiz.de/10013154945