TARIFF PROTECTION IN AN OPEN SPATIAL ECONOMY*

摘要: Spatial pricing models have been used to illustrate a tariff's asymmetric effects on consumers located at different points in the protected economy, and demonstrate that optimum tariff for small open spatial economy may be positive. In these models, distribution of households has taken as uniform fixed. We extend model by allowing optimally locate consume variable amounts land, well domestic- or foreign-produced good. Land consumption, location rents, are endogenous, responding tariff-induced changes delivered prices domestic foreign goods. Within this limited general equilibrium framework, neoclassical result resurfaces: from perspective private consumers, is zero. The possibility positive tariff, however, remain intact more integrated where profits revenues redistributed within economy.