Economic Incentives for Countertrade
Rolf Mirus and
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Rolf Mirus: University of Alberta
Bernard Yeung: University of Alberta
Journal of International Business Studies, 1986, vol. 17, issue 3, 27-39
This paper examines countertrade using standard economic theory. We show that in many circumstances countertrade is a rational response transaction costs, information asymmetry, moral hazard-agency problems, and other market imperfections. This paper also integrates countertrade into international business theories. Some preliminary hypotheses, that may be empirically testable after refinement, are developed.© 1986 JIBS. Journal of International Business Studies (1986) 17, 27–39
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