Subcontracting and international trade policy
學年 91
學期 2
出版（發表）日期 2003-06-01
作品名稱 Subcontracting and international trade policy
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著者 梁文榮; Liang, Wen-jung; Chen, Ho-chyuan; Shi, Mau-shan
單位 淡江大學產業經濟學系
出版者 臺北市：臺北大學經濟系
著錄名稱、卷期、頁數 Journal of economic integration 18(2), pp.372-390
摘要 This paper examines the optimal trade policies when internationalsubcontracting occurs between two competing firms. It shows that ifthe comparative advantage effect dominates the cost saving transfereffect, the exporting country will impose a different policy on eachexport. In contrast, if the cost saving transfer effect dominates thecomparative advantage effect, the exporting country will impose a taxpolicy on both exports. However, there never exists an optimal policyto subsidize the export of both subcontracted product and finalproduct. Even though the exporting firm is assumed away its export offinal good, to subsidize the export of the subcontracted good is notnecessarily an optimal policy for the exporting country. For theimporting country, if the price elasticity of demand is sufficientlysmall and the marketing cost of final product is large enough, it isoptimal to set a negative tariff.
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