Strategic Behavior in the International Burley Tobacco Market

Orlando D. Chambers, Michael R. Reed, William M. Snell

Research output: Contribution to journalArticlepeer-review

1 Scopus citations

Abstract

This note uses an international trade model to investigate the competitiveness of the world burley tobacco market. Results support the contention that governments can take advantage of market imperfections to shift rents to the domestic economy. Both tariffs and quotas lead to larger domestic welfare compared to baseline results. However, a lowering of the price support lead to similar overall welfare increases without the retaliatory responses by competitors.

Original languageEnglish
Pages (from-to)139-148
Number of pages10
JournalJournal of Policy Modeling
Volume22
Issue number2
DOIs
StatePublished - Mar 2000

Keywords

  • Burley tobacco
  • Calibration
  • Strategic trade theory
  • Welfare analysis

ASJC Scopus subject areas

  • Economics and Econometrics

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