Year: 1999
Title:
Market Structure,Trade Liberalization, and the GATS
JEL: F12, F12
Authors:
J.F. Francois, Erasmus University
I. Wooton, University of Glasgow and CEPR
Abstract:
In this paper we consider the impact of improved domestic market access for a foreign service provider. We emphasize the interaction between the different modes of market access commitments in services (cross-border and establishment) market structure, and regulation. We work with a model where the domestic industry is assumed to be imperfectly competitive and, as a result of domestic regulation, able to act as a cartel. We also examine the incentives for the domestic firms to accommodate the entry of the foreign firm by inviting it to join the cartel.
Keywords:
Trade in services, GATS, establishmen
Contact address: francois at few.eur.nl
Paper URL: http://www.intereconomics.com/francois/text9916.pdf
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