单词 | domestic distortions |
释义 | domestic distortions Factors causing departures of a country's internal economy from Pareto-optimality. Such factors include the existence of externality, monopoly, and discriminatory taxes. These are contrasted with international distortions, such as those arising from tariff and trade quota. Trade theorists have argued that it is not efficient to attempt to correct for domestic distortions by imposing distortions in international trade, and that it is preferable to attack domestic distortions directly. |
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