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Endogenous Growth and South-North Trade

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  • Goo, Youngwan

    ()
    (SAMSUNG Research Institute of Finance)

  • Lee, Seonghoon

    ()
    (US Bureau of Census)

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    Abstract

    In this article, we develop an endogenous growth model to analyze the impact of knowledge spillovers, the disparity in initial endowments and production technologies on economic growth of two trading regions. We found that the growth rates of technology development of the two regions become uneven unless they have an identical initial steady-state labor allocation between technology development and intermediate inputs. Trade in intermediate goods and knowledge spillovers improve welfare in both regions.

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    Bibliographic Info

    Article provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.

    Volume (Year): 17 (2002)
    Issue (Month): ()
    Pages: 554-569

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    Handle: RePEc:ris:integr:0208

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    Web page: http://econo.sejong.ac.kr/
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    Related research

    Keywords: Endogenous Growth; Monopolistic Differentiated Product Market; Even (Equal) and Uneven (Unequal) Growth; Knowledge Spillover;

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