Social and Behavioral Sciences Commons^™

International Trade Between Consumer And Conservationist Countries, M. Scott Taylor, James A. Brander

M. Scott Taylor

We consider trade between a Consumer country with an open access renewable resource and a Conservationist country that regulates resource harvesting to maximize domestic steady-state utility. In what we call the mild overuse case, the consumer country exports the resource good and suffers steady-state losses from trade, as suggested by the conventional wisdom that weak resource management standards confer a comparative advantage on domestic firms in the resource sector but cause welfare losses. Strikingly, however, when the resource stock is most in jeopardy, the conservationist country exports the resource good in steady state and both countries gain from trade.

Coming To Grips With Growth In The West: Traditional Communities, Free Rivers, And The New Megalopolises, Charles Wilkinson

Dams: Water and Power in the New West (Summer Conference, June 2-4)

25 pages.

Contains 2 pages of references.