Guaranteed Market Share Arrangements in Passenger Motor Vehicles

Peter Swan

Australian Journal of Management, 1977, vol. 2, issue 2, 149-160

Abstract: The Australian Government has requested the Industries Assistance Commission to report on means of implementing its policy of a guaranteed market share, equal to 80% of the total market by volume, for domestic producers of passenger motor vehicles. This paper examines some of the costs associated with this policy and concludes that the consumer cost is of the order of $170 per family per annum. If import quotas are to be imposed, then a preferred means of implementing the Government's policy is via the sale of quotas, compared with the present system under which quotas are allocated as gifts.

Keywords: CONSUMER COST; EMPLOYMENT; INDUSTRIES ASSISTANCE COMMISSION; INEFFICIENCY; PROTECTION; PUBLIC TENDER; QUOTAS; TARIFFS (search for similar items in EconPapers)
Date: 1977
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:sae:ausman:v:2:y:1977:i:2:p:149-160

DOI: 10.1177/031289627700200204

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