Generic selectors
Exact matches only
Search in title
Search in content
Search in posts
Search in pages
Filter by Categories
Announcement
Basketball
Boston Marathon
Boys and Girls Champs
Caribbean
Caribbean Premier League
Celebrity
Comedy
Cricket
Earthquake Haiti
Elections
Games
Gibson-McCook Relays
Gold Cup
Investment
Jamaica
Manning Cup
Marketplace
News
Olympics
Prayer
Reggae Music
Religion/Faith
Soccer
Sports
Tennis
Track and Field
Trinidad & Tobago
Uncategorized
United States
World
World Championships
World Cup
Yowlink

Lerner symmetry theorem

The Lerner symmetry theorem is a result used in international trade theory, which states that an ad valorem import tariff (a percentage of value or an amount per unit) will have the same effects as an export tax. The theorem is based on the observation that the effect on relative prices is the same regardless of which policy (ad valorem tariffs or export taxes) is applied.

The theorem was developed by economist Abba P. Lerner in 1936.[1][2]

Notes

  1. ^ A. P. Lerner, 1936. "The Symmetry Between Import and Export Taxes", Economica, N.S., 3(11), pp. 306-313.
  2. ^ Jagdish N. Bhagwati, Arvind Panagariya, and T. N. Srinivasan, 1998 Lectures On International Trade, 2nd Edition, MIT Press. Description and ch. 12, sect. 12-6, Lerner Symmetry Theorem, scrollable preview, pp. 215-19.

References