The impact of “At-the-Border” and “Behind-the-Border” policies on cost-reducing research and development

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dc.creatorBerthoumieu, Julien
dc.creatorBouët, Antoine
dc.date2015-03-13
dc.date2024-08-01T02:51:33Z
dc.date2024-08-01T02:51:33Z
dc.date.accessioned2026-06-27T15:30:03Z
dc.descriptionThis research paper is aimed at understanding why border trade policies are today complemented with behind-the-border policies like output subsidies, R&D subsidies, and public R&D investments. This is a new type of protectionism that becomes prominent since the 2006-2008 economic crisis. In this paper we analyze the impact of various policies on domestic cost-reducing research and development (R&D) expenditures using an international duopolistic model with uncertainty regarding the result of the R&D process. We examine the impact of “at-the-border” policies (import tariffs, import quotas, voluntary export restraints, and minimum price agreements) as well as “behind-the-border” policies (output subsidies, R&D subsidies, and public R&D investments). We demonstrate new theoretical findings, in particular the increasing then decreasing impact of quotas on R&D, as well as the impact of production subsidies, public R&D investments, and minimum price agreements on private R&D. We conclude that R&D subsidies are appealing policy instruments because they support not only domestic R&D expenditures but also domestic production and profits without reducing consumers’ surplus.
dc.formatapplication/pdf
dc.identifierhttps://hdl.handle.net/10568/150356
dc.identifier.urihttp://hdl.handle.net/123456789/106266
dc.languageen
dc.publisherInternational Food Policy Research Institute
dc.relationhttps://hdl.handle.net/10568/150501
dc.relationhttps://hdl.handle.net/10568/150463
dc.relationhttps://hdl.handle.net/10568/152662
dc.rightsOpen Access
dc.sourceBerthoumieu, Julien and Bouët, Antoine. 2015. The impact of “At-the-Border” and “Behind-the-Border” policies on cost-reducing research and development. IFPRI Discussion Paper 1425. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/150356
dc.subjectimports
dc.subjectagricultural research
dc.subjectagricultural policies
dc.subjectresearch
dc.subjecttrade policies
dc.subjecttrade
dc.subjectsubsidies
dc.subjectprices
dc.subjecttariffs
dc.titleThe impact of “At-the-Border” and “Behind-the-Border” policies on cost-reducing research and development
dc.typeWorking Paper

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Instituto Internacional de Investigación sobre Políticas Alimentarias (IFPRI)