Resource title

Fixed transport costs and international trade

Resource image

image for OpenScout resource :: Fixed transport costs and international trade

Resource description

We develop a simple two country model of international trade that assumes that there is a fixed cost of doing international trade. We show that this leads to multiple equilibria that can be Pareto-ranked. We examine the stability properties of these equilibria.

Resource author

Didier Laussel, Raymond Riezman

Resource publisher

Resource publish date

Resource language

eng

Resource content type

text/html

Resource resource URL

http://hdl.handle.net/10419/25809

Resource license

Adapt according to the presented license agreement and reference the original author.