Import Competition and Response

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These papers, by a number of leading international-trade theorists, present the first significant theoretical work to be done on a topic of considerable interest, import competition. Nine theoretical papers, on topics ranging from protectionist lobbying to adjustment costs, are synthesized in the editor's Introduction, which also contrasts these contributions with the traditional classroom analysis of import competition. Three major empirical studies close the volume. It will prove indispensable for anyone who wishes to think clearly about import competition and about how economies do—and should—respond to it.
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Meet the Author

Jagdish Bhagwati is the Arthur Lehman Professor of Economics at Columbia University.
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Table of Contents

1. Introduction
Jagdish N. Bhagwati
I. Adjustment Processes and Policies: Theoretical Issues
2. Import Competition and Macroeconomic Adjustment under Wage-Prices Rigidity
Michael Bruno
Comment: J. Peter Neary
3. Intersectoral Capital Mobility, Wage Stickiness, and the Case for Adjustment Assistance
J. Peter Neary
Comment: Carlos Alfredo Rodriguez
Comment: Avinash Dixit
4. Government Policy and the Adjustment Process
Michael Mussa
Comment: Alasdair Smith
5. Protection, Trade Adjustment Assistance, and Income Distribution
Peter A. Diamond
Comment: John S. Chipman
II. Responses to Import Competition: Lobbying Et Al.
6. Shifting Competitive Advantage, Protectionist Demands, and Policy Response
Jagdish N. Bhagwati
Appendix. Product Creation and Trade Patterns: A Theoretical Note on the "Biological" Model of Trade in Similar Products
Robert C. Feenstra
7. Trade in Differentiated Products and the Political Economy of Trade Liberalization
Paul Krugman
Comment: Kelvin Lancaster
Comment: Michael Mussa
Comment: John S. Chipman
8. Endogenous Tariffs, the Political Economy of Trade Restrictions, and Welfare
Ronald Findlay and Stanislaw Wellisz
Comment: Richard A. Brecher
Comment: Leslie Young
9. Tariff Seeking and the Efficient Tariff
Robert C. Feenstra and Jagdish N. Bhagwati
Comment: Robert E. Baldwin
10. The Political Economy of Protectionism
Robert E. Baldwin
Comment: Stephen P. Magee
Comment: Stanislaw Wellisz
III. Adjustment Processes, Assistance Policies, and Political Response: Some Empirical Realities
11. Adjustment in Process: A Lancashire Town
Ronald P. Dore
Comment: J. David Richardson
12. Trade Adjustment Assistance under the United States Trade Act of 1974: An Analytical Examination and Worker Survey
J. David Richardson
Comment: C. Michael Aho
Comment: Martin Wolf
13. European Community Protection against Manufactured Imports from Developing Countries: A Case Study in the Political Economy of Protection
Eric Verreydt and Jean Waelbroeck
Comment: William R. Cline
Comment: Gene M. Grossman
List of Contributors
Author Index
Subject Index
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