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Who Pays for Protection in Australia? *
Author(s) -
CHOI KWANGHO,
CUMMING TRACEY A.
Publication year - 1986
Publication title -
economic record
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.365
H-Index - 42
eISSN - 1475-4932
pISSN - 0013-0249
DOI - 10.1111/j.1475-4932.1986.tb00913.x
Subject(s) - construct (python library) , economics , transfer (computing) , simple (philosophy) , business , computer science , philosophy , epistemology , parallel computing , programming language
A simple model is used to measure the transfer effects resulting from protection in Australia. The model is not concerned with the deadweight losses associated with protection. The concept of ‘true’ protection is employed to construct a transfer matrix which shows how income is transferred between sectors. The results indicate that exporters are the sole losers from protection. The cost to Australian exporters is about 1.5 per cent of GDP.