On some properties of a trade closure widely used in numerical modelling
(1999)
Journal Article
Bhattarai, K., Ghosh, M., & Whalley, J. (1999). On some properties of a trade closure widely used in numerical modelling. Economics letters, 62(1), 13-21. https://doi.org/10.1016/s0165-1765%2898%2900187-6
Armington trade models with price taking behaviour and CET and CES functions may have perverse offer curves and Nash equilibria in tariff games may not exist in the two-country case.