01884cas a2200241 a 4500 AALejournalIMF008695 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451859294 1018-5941 BD-DhAAL BD-DhAAL Tokarick, Stephen. What Do We Know About Tariff Incidence? / Stephen Tokarick. Washington, D.C. : International Monetary Fund, 2004. 1 online resource (22 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper examines the question: Who bears the larger portion of the excess burden of a tariff-the country that imposes it, or a country that it trades with? For a country that can influence its terms of trade, there are two ways of approaching this question. This paper shows that under certain assumptions, the extra burden from a marginal change in the homecountry tariff is shared equally between the home and foreign country at a tariff rate equal to twice the optimal tariff for the home country. Also, the cumulative welfare effect of a tariff in the home country, relative to free trade, turns out to be equalized across countries when the home tariff equals four times its optimal tariff. The paper provides an application of these results and points policymakers to the types of data that are relevant if they want to negotiate over "burden sharing.". Mode of access: Internet IMF Working Papers; Working Paper ; No. 2004/182 Full text available on IMF http://elibrary.imf.org/view/journals/001/2004/182/001.2004.issue-182-en.xml IMF e-Library