The majority of research to date investigating strategic tariffs in the presence of multinationals finds a knife-edge result where, in equilibrium, all foreign firms are either multinationals or exporters. Utilizing a model of heterogeneous firms, we find equilibria in which both pure exporters and multinationals coexist. We utilize this model to study the case of endogenously chosen tariffs. A...

The touchstone for this volume is the work of Edward Safarian, widely recognized as the ‘Dean’ of Canada’s scholars who study foreign direct investment (FDI) and multinational enterprises (MNEs). A professor at the University of Toronto since 1966, Safarian has been President of the Canadian Economics Association (1977–78) and a Fellow of the Royal Society of Canada since 1973. From his pioneer...