This paper examines the patterns of economic integration and endogenous growth in a two-country overlapping generations world in which the formation of childrn's human capital is financed by parents. It explores the influence of cross-border external effects in human capital on growth. Interestingly, world integration can enhance (reduce) long-run growth in both countries if cross-border external effects in human capital are sufficiently strong (weak).
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Paper provided by Universite Aix-Marseille III in its series G.R.E.Q.A.M. with number
99a55.
Length: 22 pages Date of creation: 1999 Date of revision: Handle: RePEc:fth:aixmeq:99a55
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Find related papers by JEL classification: F15 - International Economics - - Trade - - - Economic Integration J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
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