Working Papers, Department of Economics, Lund University
No 2007:20:
Trilateral Trade and Asset Allocation - extending the Grossman-Hart-Moore model
Eric Rehn ()
Abstract: This paper extends the Grossman-Hart-Moore model to suite
a specific trilateral trade transaction. In this transaction a downstream
producer produces the final good using inputs from two different upstream
suppliers. Moreover one of the upstream supplier needs an input from the
other upstream supplier for its production. The optimal way to organize
this transaction depend on the characteristics of assets, human capital and
investments. The general finding is that it is more demanding to find a
unique Pareto optimal organization in the trilateral model than in the
bilateral Grossman-Hart-Moore model. This paper also produces a number of
other potentially useful results.
Keywords: Trilateral Trade; Property Rights; Partial Integration; (follow links to similar papers)
JEL-Codes: D23; L23; (follow links to similar papers)
36 pages, December 20, 2007
Before downloading any of the electronic versions below
you should read our statement on
copyright.
Download GhostScript
for viewing Postscript files and the
Acrobat Reader for viewing and printing pdf files.
Full text versions of the paper:
WP07_20.pdf 
Download Statistics
Questions (including download problems) about the papers in this series should be directed to David Edgerton ()
Report other problems with accessing this service to Sune Karlsson ()
or Björn Thodenius ().
Programing by
Design by Joachim Ekebom
