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Export subsidies and high productivity: cause or effect?

de Meza, David ORCID: 0000-0002-5638-8310 (1986) Export subsidies and high productivity: cause or effect? Canadian Journal of Economics, 19 (2). pp. 347-350. ISSN 0008-4085

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According to the emerging strategic theory of trade policy, countries selling in imperfectly competitive world markets may benefit from export subsidies. This paper demonstrates that the theory predicts that it is the countries with the lowest production costs that offer the highest subsidies. It is argued that this result diminishes the attraction of the theory as a positive explanation of trade policy.

Item Type: Article
Official URL:
Additional Information: © 1986 Canadian Economics Association
Divisions: Management
Subjects: H Social Sciences > HB Economic Theory
H Social Sciences > HF Commerce
Date Deposited: 14 Apr 2011 14:52
Last Modified: 15 May 2024 23:29

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