A two-country model of oligopoly in general equilibrium is used to show how changes in market structure accompany the process of trade and capital market liberalisation. The model predicts that bilateral mergers in which low-cost firms buy out higher-cost foreign rivals are profitable under Cournot competition. With symmetric countries, welfare may rise or fall, though the distribution of incom...

This paper considers the links between trade liberalisation and technology choice in the nonliberalising country. Trade-liberalisation-induced changes in relative product prices have direct effects on equilibrium relative factor returns. The consequent changes in relative input costs may also lead producers to switch to alternative technologies, which will in turn induce a further indirect chan...

There has been a recent resurgence of interest in the relationship between income inequality and growth. We use the WIDER/UNDP World Income Inequality Database to investigate the effects of inequality and trade liberalisation on growth in a sample of exclusively developing countries. Cross-section (long-run) and panel (short run) techniques are used to test for the effect of inequality on growt...

The post-communist countries of Eastern Europe and the former Soviet Union introduced, at least initially, political and economic reforms simultaneously. This paper explores the consequences of simultaneous implementation of economic and political liberalisation for economic growth. It is found that democracy indeed had a negative marginal effect on growth during early phases of transition (199...

This article reports mixed results about the impacts of liberalisation in European network industries. Telecommunications prices have fallen and converged across EU-15, but electricity and gas prices have either increased or diverged. Productivity has increased, but mainly as a result of falling employment in absolute and relative terms. Liberalised industries are still characterised by high le...