Is the WTO's Article XXIV Bad?
This paper shows that the WTO's Article XXIV increases the likelihood of free trade, but may worsen world welfare when free trade is not reached and customs unions (CUs) form. We consider a model of many countries. Article XXIV prevents a CU from raising its common external tariff, which makes...
Main Authors: | Mrazova, M, Vines, D, Zissimos, B |
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Format: | Working paper |
Language: | English |
Published: |
Department of Economics (University of Oxford)
2008
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