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Imitative Behavior and Evolutionary Dynamics for the Comparative Advantage of International Trade Theory

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  • Accinelli Gamba, Elvio
  • Sánchez Carrera, Edgar J.

Abstract

We claim that economic agents driven by imitative behavior may impact the industrial specialization of national economies. We use a simple two-country model, where workers and firms decide to be skilled (or unskilled) and innovative (or non-innovative). We show that comparative advantages and international trade, under the assumption of a rational strategic behavior of the economic agents, can lead countries towards either an equilibrium with high-social performance or a poverty trap.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 55209.

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Date of creation: 27 Feb 2014
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Publication status: Published in Políticas Públicas 1.2(2014): pp. 83-94
Handle: RePEc:pra:mprapa:55209

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Keywords: Imitation theory and games; population games; trade strategy.;

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  1. Daron Acemoglu, 1998. "Why Do New Technologies Complement Skills? Directed Technical Change And Wage Inequality," The Quarterly Journal of Economics, MIT Press, vol. 113(4), pages 1055-1089, November.
  2. Rodrik, Dani, 1996. "Coordination failures and government policy: A model with applications to East Asia and Eastern Europe," Journal of International Economics, Elsevier, vol. 40(1-2), pages 1-22, February.
  3. Accinelli, Elvio & Sanchez Carrera, Edgar J., 2011. "Strategic complementarities between innovative firms and skilled workers: The poverty trap and the policymaker's intervention," Structural Change and Economic Dynamics, Elsevier, vol. 22(1), pages 30-40, February.
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