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| Content Provider | Springer Nature Link |
|---|---|
| Author | Okumura, Yasuri |
| Copyright Year | 2014 |
| Abstract | In this paper, we examine the formation of free trade agreements on eliminating non-tariff barriers as a network formation game. A firm faces an import volume quota in a foreign country, which it cannot exceed but can be removed through bilateral free trade agreements. We focus on the stable free trade agreements networks, considering the case where each country determines the quotas of the foreign firms. We show that global free trade may not be achieved in any stable network. Moreover, all countries may be autarkic in a stable network. Finally, we demonstrate that our main results continue to hold regardless of the type of non-tariff barriers, such as import licences, import share quotas, and technical measures for increasing the production costs of foreign firms. |
| Starting Page | 223 |
| Ending Page | 238 |
| Page Count | 16 |
| File Format | |
| ISSN | 15661679 |
| Journal | Journal of Industry, Competition and Trade |
| Volume Number | 15 |
| Issue Number | 3 |
| e-ISSN | 15737012 |
| Language | English |
| Publisher | Springer US |
| Publisher Date | 2014-08-31 |
| Publisher Place | New York |
| Access Restriction | One Nation One Subscription (ONOS) |
| Subject Keyword | Free trade agreements Non-tariff barriers Network formation Cournot Industrial Organization Economic Policy R & D/Technology Policy European Integration Microeconomics International Economics |
| Content Type | Text |
| Resource Type | Article |
| Subject | Economics and Econometrics Industrial Relations |
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