Learn More
Theoretical models of growth and trade suggest that patterns of international specialisation are inherently dynamic and evolve endoge-nously over time. Initial comparative advantages are either reinforced or gradually unwound with the passage of time. This paper puts forward an empirical framework to evaluate the dynamics of international trade patterns,(More)
A simple model of offshoring is used to integrate the complex gallery of results that exist in the theoretical offshoring/fragmentation literature. The paper depicts offshoring as 'shadow migration' and shows that this allows straightforward derivation of the general equilibrium effects on prices, wages, production and trade (necessary and sufficient(More)
The elasticity of intertemporal substitution (the EIS) measures the ease with which a consumer substitutes future for present consumption, other things equal. This important value is often assumed to be constant. Attanasio and Browning (1995) show how a variable EIS works well in a panel consumption study. The present paper examines some implications of a(More)
The game-theoretic bargaining literature insists on non-cooperative bargaining procedure but allows cooperative implementation of agreements. The effect of this is to allow free-reign of bargaining power with no check upon it. In reality, courts cannot implement agreements costlessly, and parties often prefer to use non-cooperative implementation. We(More)
Why is further multilateral trade liberalisation proving so difficult to achieve? This paper shows that Article XXIV itself, the set of WTO rules governing trade block formation, undermines the multilateral liberalisation process. Trade block formation under Article XXIV can be thought of as a coalition formation game with negative externalities. We suppose(More)
Campaign promises and campaign spending are modelled as integral parts of a signaling mechanism that transmits information about can-didates' abilities and proposed policies to the voters. We suggest that viewing promises and spending as inseparable parts of the same mechanism is essential in moving towards providing a microfoundation framework of political(More)
Global warming is happening, and human activities are its major cause. Projections of warming and its consequences are subject to great uncertainty, especially where long-run outcomes are concerned. Does this uncertainty weaken the case for present expensive interventions? A theoretical examination of the problem is provided with a simple two-period model.(More)