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Vol 21 No 8 Aug/Sept 2016

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Trade and Industrial Policy Under International Oligopoly

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Sajal LahiriSouthern Illinois University, Carbondale, Yoshiyasu OnoUniversity of Osaka, Japan

ISBN13: 9780521770330
ISBN: 0521770335
Published: April 2003
Publisher: Cambridge University Press
Format: Hardback
Price: £69.99



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The existence of firms with different levels of efficiency within a country plays an important role in this in-depth analysis of industrial and trade policies in a multi-country trade-theoretic framework. Sajal Lahiri and Yoshiyasu Ono examine various industrial policies, R&D subsidies and trade policies under conditions of imperfect competition in a product market created by the presence of Cournot oligopolistic interdependence in production. Trade is defined broadly to include trade in commodity as well as trade in capital, specifically foreign direct investment. While the first part of the book focuses on commodity trade and assumes full employment, the latter considers foreign direct investment and assumes the presence of unemployment. Given the importance of industrial policies and the prevalence of imperfect competition, together with on-going attention to theoretical issues concerning industrial economics, this research will excite interest amongst researchers, advanced students and policy makers in this field.

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Subjects:
International Trade
Contents:
Introduction
1. Cost asymmetry and industrial policy in a closed economy
2. R&D policy
3. Trade and industrial policy under foreign penetration
4. Trade and industrial policy under asymmetric oligopoly: a synthesis
5. Trade policy when producers and sellers differ
6. Foreign penetration in the presence of unemployment
7. Local content requirement and profit taxation
8. Export-oriented foreign direct investment
9. Lobbying for local content requirement
10. Foreign direct investment in the presence of cross-hauling.