English, Article, Journal or magazine article edition: Quotas and the Stability of Implicit Collusion Julio J. Rotemberg; Garth Saloner

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Bookmark: http://trove.nla.gov.au/version/140814
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • Quotas and the Stability of Implicit Collusion
Author
  • Julio J. Rotemberg
  • Garth Saloner
Physical Description
  • preprint
Notes
  • This paper shows that the imposition of an import quota by one country can lead to increased competitiveness; protection can reduce the price in the country that imposes the quota, the foreign country, or both. This emerges from a model in which the firms are assumed to sustain collusion by the threat of reversion to more competitive pricing. We consider both prices and quantities as the strategic variables and study competition both in the domestic and the foreign market taken individually, and in the two markets taken together.
  • RePEc:nbr:nberwo:1948
Language
  • English
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