Munich Personal RePEc Archive

Tariff and Equilibrium Indeterminacy--(II)

Zhang, Yan (2008): Tariff and Equilibrium Indeterminacy--(II).

[img]
Preview
PDF
MPRA_paper_10043.pdf

Download (156Kb) | Preview

Abstract

We establish conditions under which indeterminacy can occur in a small open economy oil-in the production RBC model with lump sum tariff revenue transfers. The indeterminacy would require that the steady state tariff rates be in an open interval. This means that as long as the government revenues are exogenous, our indeterminacy result will be robust to the usage of the government revenue.

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.