Export cartel and consumer welfare

The purpose of this paper is to show that export cartels are not necessarily harmful for consumers in the importing countries. Using the strategic trade policy model of Brander and Spencer (1985a), we show that, contrary to the harmful effect, product-market cooperation benefits consumers by affecti...

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Main Authors: Mukherjee, Arijit, Sinha, Uday Bhanu
Format: Article
Published: Wiley 2018
Subjects:
Online Access:https://eprints.nottingham.ac.uk/52462/
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author Mukherjee, Arijit
Sinha, Uday Bhanu
author_facet Mukherjee, Arijit
Sinha, Uday Bhanu
author_sort Mukherjee, Arijit
building Nottingham Research Data Repository
collection Online Access
description The purpose of this paper is to show that export cartels are not necessarily harmful for consumers in the importing countries. Using the strategic trade policy model of Brander and Spencer (1985a), we show that, contrary to the harmful effect, product-market cooperation benefits consumers by affecting the trade policies. We further show that consumers in the importing countries are affected adversely if cooperation is among the governments of the exporting countries, instead of the exporting firms.
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spelling nottingham-524622020-05-04T19:40:13Z https://eprints.nottingham.ac.uk/52462/ Export cartel and consumer welfare Mukherjee, Arijit Sinha, Uday Bhanu The purpose of this paper is to show that export cartels are not necessarily harmful for consumers in the importing countries. Using the strategic trade policy model of Brander and Spencer (1985a), we show that, contrary to the harmful effect, product-market cooperation benefits consumers by affecting the trade policies. We further show that consumers in the importing countries are affected adversely if cooperation is among the governments of the exporting countries, instead of the exporting firms. Wiley 2018-06-10 Article PeerReviewed Mukherjee, Arijit and Sinha, Uday Bhanu (2018) Export cartel and consumer welfare. Review of International Economics . ISSN 1467-9396 (In Press) Consumer surplus; Cooperation; Export cartel; Strategic trade policy
spellingShingle Consumer surplus; Cooperation; Export cartel; Strategic trade policy
Mukherjee, Arijit
Sinha, Uday Bhanu
Export cartel and consumer welfare
title Export cartel and consumer welfare
title_full Export cartel and consumer welfare
title_fullStr Export cartel and consumer welfare
title_full_unstemmed Export cartel and consumer welfare
title_short Export cartel and consumer welfare
title_sort export cartel and consumer welfare
topic Consumer surplus; Cooperation; Export cartel; Strategic trade policy
url https://eprints.nottingham.ac.uk/52462/