() and James R. Markusen
Mattias Ganslandt: The Research Institute of Industrial Economics, Postal: P.O. Box 55665, SE-102 15 Stockholm, Sweden
James R. Markusen: Department of Economics, Postal: University of Colorado, Boulder, USA
Abstract: Standards and technical regulations which govern the admissibility of imported goods into an economy raise costs of exporters entering new markets, and may have a particularly high impact on firms seeking to export from developing countries. Yet standards may also have a positive side, such as certifying product quality and safety for the consumer. This paper analyzes potential conflicts of interest between consumers and firms in a developed and a developing country under different assumptions about the costs and benefits of standards imposed on tradable products by one or both of the countries.
21 pages, January 30, 2001
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