1,071 research outputs found

    On the Square Peg Problem and some Relatives

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    The Square Peg Problem asks whether every continuous simple closed planar curve contains the four vertices of a square. This paper proves this for the largest so far known class of curves. Furthermore we solve an analogous Triangular Peg Problem affirmatively, state topological intuition why the Rectangular Peg Problem should hold true, and give a fruitful existence lemma of edge-regular polygons on curves. Finally, we show that the problem of finding a regular octahedron on embedded spheres in R^3 has a "topological counter-example", that is, a certain test map with boundary condition exists.Comment: 15 pages, 14 figure

    Antidumping as Strategic Trade Policy Under Asymmetric Information

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    This paper investigates the domestic government’s antidumping duty choice in an asymmetric information framework where the foreign firm’s cost is observed by the domestic firm, but not by the government. To induce truthful revelation, the government can design a tariff schedule, contingent on firms’ cost reports, accompanied by a threat of auditing and implementing penalty duties. We show that the antidumping framework within GATT/WTO may not only offer the means to pursue strategic trade policy disguised as fair trade policy, but may also help overcome the informational problems with regard to determining the optimal strategic trade policy.antidumping duties, asymmetric information, trade protection, strategic trade policy

    Home Bias in U.S. Beer Consumption

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    We apply the Berry, Levinsohn and Pakes (1995) market equilibrium model (BLP) to data from 30 brands of beers sold in 12 U.S. cities over 20 quarters (1988-92) to estimate the consumers taste for beer characteristics (price, alcohol content, and calories) as well as for the cultural region of origin (USA, Anglo-European, Germanic, and countries bordering the U.S.). Consumer heterogeneity is allowed with respect to age, income and gender. Overall we end up with 7,200 beer brand observations (30x12x20) and 13,920 (58 random draws x 12 x 20) consumer observations. Empirical results indicate that indeed there is home bias with respect to European beers and somewhat less so with respect to beers from bordering countries (Mexico and Canada). Home bias is more accentuated among older males who are more affluent. Furthermore, the own-price elasticities and the cross price elasticities of demand are higher for foreign beers, indicating a higher degree of loyalty and differentiation for domestic beers.Home bias, beer, country of origin, demand, differentiated products, Food Consumption/Nutrition/Food Safety,

    Food Protection for Sale

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    This article tests the Protection for Sale (PFS) model using detailed data from U.S. food processing industries from 1978 to 1992 under alternative import demand specifications. All empirical results support the PFS model predictions and previous empirical work qualitatively. Although welfare weights are very sensitive to import demand specification, a surprising result is that we obtain weights between 2.6 and 3.6 for domestic welfare using import slopes or elasticities derived from domestic demand and supply functions. In contrast, results based on import slopes or elasticities from directly specified import demands (including the Armington model) yield the usual, unrealistically large estimates for the domestic welfare weight. We contend that the latter empirical paradox arises mainly because the explanatory variables tend to be extremely large for industries with low import ratios and/or low estimated elasticities or slopes resulting from relatively volatile import prices. The results with derived import parameters point to a much stronger role of campaign contributions within the PFS model than previously found. They also suggest that the commonly-used Armington estimates may not be appropriate for estimating the PFS model.trade protection, tariffs, lobbying, political economy, food manufacturing, Agricultural and Food Policy, Political Economy, F13, F1, L66, C12,

    A survey on the square peg problem

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