Trade Policy and Global Sourcing: A Rationale for Tariff Escalation

January 7, 2022

Citation:

[Trade Policy and Global Sourcing: A Rationale for Tariff Escalation] ”.

Abstract:

We study trade policy in an environment with intermediate and final good trade. Real-world import tariffs tend to be higher for final goods than for inputs, a phenomenon commonly referred to as tariff escalation.…

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