Trade Competition: Effect of Motive

protection of trade marks against unfair competition

the law of prohibition of unfair competition prohibits any deed or action which is against the normal competition in the market. before emergence of special laws for protection of intellectual property rights, including trademarks, such right could be protected either by tort law claims or law of unfair competition. however, the law of prohibition of unfair competition covers a wider area than ...

Strategic Trade and Delegated Competition∗

Strategic trade theory has been criticized on the grounds that its predictions are overly sensitive to modeling assumptions. Applying recent results in duopoly theory, this paper considers three-stage games in which governments choose subsidies, firms’ owners choose incentive schemes for their managers, and then the managers compete in the product market. We show that if firms’ owners have suff...

Trade Credit and Supplier Competition

This paper examines how competition among suppliers affects their willingness to provide trade credit financing. Trade credit extended by a supplier to a cash constrained retailer allows the latter to increase cash purchases from its other suppliers, leading to a free rider problem. A supplier that represents a smaller share of the retailer’s purchases internalizes a smaller part of the benefit...

Expired Patients, Trade Secrets, and Stymied Competition

Geography, Competition, and Optimal Multilateral Trade Policy∗

How should multilateral trade policy be designed in a world in which countries differ in terms of market access and technology, and firms with market power differ in terms of productivity? We answer this question in a model of monopolistic competition in which variable markups increasing in firm size are a key source of misallocation across firms and countries. We use ‘disadvantaged’ to refer t...