Home >

news Help

Publication Information


Title
Japanese: 
English:A two-country model of trade and growth with intersectoral knowledge spillovers 
Author
Japanese: 内藤巧, 大土井涼二.  
English: Takumi Naito, Ryoji Ohdoi.  
Language English 
Journal/Book name
Japanese: 
English:Journal of Economics 
Volume, Number, Page vol. 103    no. 1    pp. 39-58
Published date May 2011 
Publisher
Japanese: 
English: 
Conference name
Japanese: 
English: 
Conference site
Japanese: 
English: 
DOI https://doi.org/10.1007/s00712-010-0178-4
Abstract We formulate a two-country, two-good, two-factor endogenous growth model with learning by doing and intersectoral knowledge spillovers. Our model exhibits no transitional dynamics because of constant returns to capital, the existence of only one state variable for each country, and the factor price equalization theorem. By applying our model to the problem of aid and growth, we show that a permanent increase in untied aid raises the common growth rate if and only if the propensity to consume the capital-intensive good in the recipient country is larger than in the donor country.

©2007 Tokyo Institute of Technology All rights reserved.