For sustainable economic development, a continuous and successful transformation is critical, supporting requires better understanding of the close interaction between technology skill at micro- macro-levels. The technology-skill links should especially be important in today’s globalized world. This paper develops large-scale global Computable General Equilibrium (CGE) model by incorporating re...

As multilateral trade barriers fall, there are increasing concerns that domestic policies will be used to undermine tariff cooperation. We examine how the ability use instruments affects formation of agreements, and resulting implications for pursuit free trade. optimal tariffs relate policy choices, negotiated restrictions on affect both incentives enter different agreements. show unrestricted...

The gravity model has been extensively used in international trade research for the last 40 years because of its considerable empirical robustness and explanatory power. Since their introduction in the 1960’s, gravity models have been used for assessing trade policy implications and, particularly recently, for analyzing the effects of Free Trade Agreements on international trade. The objective ...

as regional integration agreements (RIAs)—is one of the major international relations developments of recent years. Most industrial and developing countries in the world are members of a regional integration agreement, and many belong to more than one: more than one-third of world trade takes place within such agreements. 1 The structure of regional agreements varies hugely, but all have one th...

This paper examines the welfare effects of the formation of a free-trade area (a set of countries which abolish tariffs among member countries but let individual countries to set external tariffs). If a representative consumer has love-of-variety preferences, the welfare function exhibits supermodularity in external tariffs: when a country is constrained to charge lower tariffs on imports of so...