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The Welfare Costs of Tariffs, Monopolies, and Theft
2/2 checkable references clean · checked 2026-07-31
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no DOI — not checkedThese studies are conveniently listed with a useful table of the welfare losses computed in each in Haivey Leibenstein, “Allocative Efficiency vs. ‘X-Efficiency’,” Am. Econ. Rev., June 1966, 56, 392–415.
no DOI — not checkedR. A. Mundell, Review of L. H. Jansscn, Free Trade, Protection and Customs Union, Am. Econ. Rev., June 1962, 52, 622.
no DOI — not checkedA. C. Harberger, “Using the Resources at Hand More Effectively,” Am. Econ. Rev., May 1959, 49, 134–46. It should be noted that Harberger suggested the method for the measurement of the welfare costs of monopoly, but its extension to cover tariffs was the work of other scholars. The more careful scholars who have measured the welfare costs of tariffs have not all used this very simple application of Hacberger’s method, but a method such as illustrated in Figure 2. I have chosen to begin with this method of measurement partly because it simplifies the exposition and partly because this procedure is the “conventional wisdom” on the matter. (Cf. Leibenstein, op. cit.)
no DOI — not checkedTibor Scitovsky, Economic Theory and Western European Integration, Stanford 1958.
no DOI — not checkedJames Buchanan and Gordon Tullock, “Public and Private Interaction Under Reciprocal Externality,” in The Public Economy of Urban Commuuittes, Julius Margolis, Ed., Washington, D.C 1964, pp. 52–73.
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