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Author: | Leahy, D. Neary, J.P. |
Title: | Strategic trade and industrial policy towards dynamic oligopolies |
Journal: | Economic Journal
2000 : APR, VOL. 110:463, p. 484-508 |
Index terms: | Industrial policy Oligopoly Trade |
Language: | eng |
Abstract: | The authors characterise trade and industrial policy in dynamic oligopolistic markets. If governments can commit to future policies, optimal first-period intervention should diverge from the profit-shifting benchmark to an extent which exactly offsets the strategic behaviour implied by Fudenberg and Tirole's "animal spirits" taxonomy of business strategies. |
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