Optimal trade policy with monopolistic competition and heterogeneous firms
This paper derives optimal trade and domestic taxes for a small open economy containing a monopolistically competitive (MC) sector in which firms may have heterogeneous productivity levels. Analysis encompasses cases in which the domestic MC sector is able to expand or contract flexibly, or is const...
Main Authors: | Venables, A, Haaland, J |
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Format: | Journal article |
Published: |
Elsevier
2016
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