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( Tadashi Morita ),( Kinki University ) 한국국제경제학회 2014 한국국제경제학회 동계학술대회 Vol.2014 No.1
In this paper, we construct a three country model with national and multinational (multiplant) firms in which oligopolistic firms in each countries export. We investigate the effect of trade liberalization between two countries on the third country. When the economy size of the third country is small and the trade costs between countries are sufficiently large, trade liberalization between two countries may increases the welfare level in the third country. When the economy size of the third country is large, trade liberalization between two countries decreases the welfare level in the third country.