Article ID Journal Published Year Pages File Type
5055051 Economic Modelling 2012 9 Pages PDF
Abstract
► Paper examines tariff induced private and social incentives for quality innovation. ► For differential tariff regime, private and social gains increase with tariff levels. ► For high innovation costs, firms may not undertake socially desirable innovation. ► Quality-distortion-at-the-bottom occurs only for very high levels of tariffs.
Keywords
Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
Preview
On tariff and quality innovation in a market with discrete preferences
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