Revisiting the role of trade policy under the progress of cross-border unbundling of production

2017 Fiscal Year Final Research Report

• Project/Area Number: 16H07241
• Research Category: Grant-in-Aid for Research Activity Start-up
• Allocation Type: Single-year Grants
• Research Field: Economic policy
• Research Institution: Aoyama Gakuin University (2017); Toyo University (2016)
• Principal Investigator: Obashi Ayako 青山学院大学, 国際政治経済学部, 助教 (30528922)
• Project Period (FY): 2016-08-26 – 2018-03-31
• Keywords: 経済政策 / 国際的工程間分業 / 貿易政策

Outline of Final Research Achievements

We revisited the role of trade policy and trade agreement in a theoretical framework considering globalized production activities. The government would choose a combination of tariffs imposed on different stages of production, in consideration of the impact on the firm's production location and sourcing decisions, so as to better manipulate the terms of trade to its advantage with trade policy intervention. Based on such a thought, we theoretically explained a novel motive behind the trade policy intervention: a government not only would raise the import tariff on the final goods but also sometimes would restrict exports of intermediate inputs in order to attract the final-good production base.

Free Research Field

国際経済学（国際貿易論、貿易政策）