IDEAS home Printed from https://ideas.repec.org/a/bla/reviec/v4y1996i3p300-321.html
   My bibliography  Save this article

Endogenous Growth in a Dependent Economy with Traded and Nontraded Capital

Author

Listed:
  • Turnovsky, Stephen J

Abstract

The equilibrium growth path for this economy depends upon the relative sectoral capital intensities of the two production functions. If the nontraded sector is relatively intensive in traded capital, both the relative price of nontraded output and the price of installed capital always remain at their respective steady-state levels. Traded capital and aggregate wealth are always on their respective steady-state growth paths. Nontraded capital undergoes transitional dynamics, ultimately converging to the growth rate of the traded capital and an equilibrium ratio of traded to nontraded capital. If the sectoral intensities are reversed, both asset prices will follow transitional adjustment paths. Copyright 1996 by Blackwell Publishing Ltd.

Suggested Citation

  • Turnovsky, Stephen J, 1996. "Endogenous Growth in a Dependent Economy with Traded and Nontraded Capital," Review of International Economics, Wiley Blackwell, vol. 4(3), pages 300-321, October.
    • Handle: RePEc:bla:reviec:v:4:y:1996:i:3:p:300-321
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nikos Christodoulakis, 2009. "Ten Years Of Emu: Convergence, Divergence And New Policy Priorities," National Institute Economic Review, National Institute of Economic and Social Research, vol. 208(1), pages 86-100, April.
    2. Stephen J. Turnovsky, 2000. "Growth in an open economy: some recent developments," Working Paper Research 05, National Bank of Belgium.
    3. Torvik, Ragnar, 2001. "Learning by doing and the Dutch disease," European Economic Review, Elsevier, vol. 45(2), pages 285-306, February.
    4. Enrique R. Casares, 2015. "A relationship between external public debt and economic growth," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 30(2), pages 219-243.
    5. Brock, Philip L., 2011. "The Penn-Balassa-Samuelson effect through the lens of the dependent economy model," Journal of Economic Dynamics and Control, Elsevier, vol. 35(9), pages 1547-1556, September.
    6. Carlos Esteban Posada, 1997. "Otro Costo De Una Inflación Perfectamente Prevista," Revista ESPE - Ensayos Sobre Política Económica, Banco de la República, vol. 16(31), pages 5-33, June.
    7. Frederick van der Ploeg, 2011. "Natural Resources: Curse or Blessing?," Journal of Economic Literature, American Economic Association, vol. 49(2), pages 366-420, June.
    8. Rahmati, Mohammad H. & Karimirad, Ali, 2017. "Subsidy and natural resource curse: Evidence from plant level observations in Iran," Resources Policy, Elsevier, vol. 52(C), pages 90-99.
    9. Nicos Christodoulakis & Vassilis Sarantides, 2017. "External Asymmetries in the Euro Area and the Role of Foreign Direct Investment," The World Economy, Wiley Blackwell, vol. 40(2), pages 393-423, February.
    10. Meng, Qinglai, 2003. "Multiple transitional growth paths in endogenously growing open economies," Journal of Economic Theory, Elsevier, vol. 108(2), pages 365-376, February.
    11. Shaw, Ming-Fu & Lai, Ching-Chong & Chang, Wen-Ya, 2005. "Anticipated policy and endogenous growth in a small open monetary economy," Journal of International Money and Finance, Elsevier, vol. 24(5), pages 719-743, September.
    12. Chung Yi Tse & Charles Ka Yui Leung, 2002. "Increasing Wealth and Increasing Instability: The Role of Collateral," Review of International Economics, Wiley Blackwell, vol. 10(1), pages 45-52, February.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:reviec:v:4:y:1996:i:3:p:300-321. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0965-7576 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.