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Contracting with Endogenously Incomplete Commitment: Escape Clauses
2023We study mechanism design under endogenously incomplete commitment as it arises in contracting with escape clauses. An escape clause permits the agent to end a contractual relationship under specified circumstances, after which the principal can offer an ex-post contract.
Tangerås, Thomas P., Gick, Wolfgang
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An Overlapping‐generations Model of Escape Clause Protection
Review of International Economics, 2004AbstractThe paper explores the efficiency consequences of using temporary protection to ease adjustment following an unexpected, permanent improvement in a country's terms of trade. In the model, workers trade off the potentially higher wage that the export sector has to offer with a lower job acquisition rate. An unexpected improvement in the terms of
Carl Davidson, Steven J. Matusz
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The Analysis of Causality in Escape Clause Cases
The Journal of Industrial Economics, 1988Under Section 201 of the Trade Act of 1974, the so-called escape clause, a domestic industry that is seriously injured can obtain temporary relief if imports are the substantial cause of such injury. This paper develops a methodology to determine the change in a domestic industry's production as a result of changes in import supply, demand, and ...
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Escape Clauses and the Multi-Fibre Agreement
1980Those responsible for the liberalisation of international trade, which has made impressive progress since World War II, were well aware of the necessity of establishing an equilibrium between two contradictory constraints. On the one hand, in order to take full advantage of the liberalisation measures, the competitive producer had to have a reasonable ...
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Provision for Escape Clauses and other Safeguards
1972“Escape clauses” are an accepted feature of all types of international trade agreement and are an expression of national sovereignty. Following the bitter experience of the 1930s, governments involved in the negotiation of commercial treaties since 1945 have been anxious to retain adequate powers to safeguard their economies from unexpected problems ...
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No escape from the island: On extraction from complement wh-clauses in English
, 2019 Ken Ramshøj Christensen +1 more
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Inflation rules with consistent escape clauses
European Economic Review, 1999Abstract Simple inflation targets may be supplemented with an escape clause to be invoked in case the economy is hit by a major supply shock. In this paper, consistent solutions to the Flood and Isard (1989, IMF Staff Papers, 36, 612–632) escape clause model are derived in the spirit of Lohmann (1990, American Economic Review, 82, 273–286). She shows
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