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Optimum Tariffs, Revenue-Maximizing Tariffs and Unemployment: A General Disequilibrium Analysis
Stanford University.
Umeå Universitet.
1983 (English)Report (Other academic)
Abstract [en]

This paper uses recently developed non-Walrasian equilibrium models of open economies to characterize the optimum tariff under both Classical and Keynesian Unemployment regimes. The existing literature concentrates on the former. Keynesian unemployment has notbeen considered, presumably because of the difficulty integrating macroeconomic models of unemployment and microeconomic policy analyses in the presence of domestic distortions. Interestingly, the optimum tariff under either type of unemployment may lie above the revenue-maximizing tariff in contrast to the well-known result obtained in the Walrasian equilibrium context.

Place, publisher, year, edition, pages
Stockholm: IIES , 1983. , 22 p.
Seminar Paper / Institute for International Economic Studies, Stockholm University, ISSN 0347-8769 ; 266
URN: urn:nbn:se:su:diva-41232OAI: diva2:329154
Published in connection with a visit at the IIESAvailable from: 2010-07-08 Created: 2010-07-08 Last updated: 2010-07-09Bibliographically approved

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