ARE PROHIBITIVE TRADE SANCTIONS OPTIMAL?
James D. Gaisford and Sharad Sood International Economic Journal, 1996, vol. 10, issue 1, pages 1-20 Abstract: Optimal trade sanctions will typically be non-prohibitive. The maximum penalty of a total trade embargo may not be desired or warranted and non-prohibitive sanctions may strike the best balance between punishing the target and avoiding damage to the sanctioner. Non-prohibitive sanctions can also: reduce smuggling, lessen the benefits to bystander countries, and mitigate the harm to innocent communities within the target country. When there are domestic distortions within the target country, non-prohibitive sanctions may be more painful than prohibitive sanctions. The possibility of easing non-prohibitive sanctions in response to reform also provides an appropriate incentive. [F13, K3] Date: 1996 View list of references Track citations by RSS feed Downloads: (external link) http://taylorandfrancis.metapress.com/link.asp?tar … &id=J75WW16640342707 (text/html) Access to full te
