Effects of Tariff Reduction on Economic Growth

  • Katsufumi FukudaEmail author


This paper examines the effects of increases in ad-valorem tariffs on economic growth in a growth and trade model with firm heterogeneity. We show that increases in ad-valorem tariffs from zero tariffs with no iceberg cost and identical sunk costs for domestic and foreign markets leads to lower growth rate.


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Copyright information

© Springer Nature Singapore Pte Ltd. 2018

Authors and Affiliations

  1. 1.Hiroshima UniversityHigashihiroshimaJapan

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