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Time Preference and Factor Mobility in an OLG Model with Land

Author

Listed:
  • Crettez, B
  • Michell, P
  • Vidal, J-P

Abstract

This paper examines the pattern of capital mobility in a two-country overlapping generations world in which production uses three inputs capital, labor and land. The steady-state welfare consequences of opening countries to financial capital or labor mobility are then compared. In particular, it is shown that capital mobility does not equalize standards of living across countries. To achieve this goal, one has to rely on labor mobility.

Suggested Citation

  • Crettez, B & Michell, P & Vidal, J-P, 1997. "Time Preference and Factor Mobility in an OLG Model with Land," ASSET - Instituto De Economia Publica 152, ASSET (Association of Southern European Economic Theorists).
    • Handle: RePEc:fth:inecpu:152
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    More about this item

    Keywords

    LABOUR MARKET ; LABOUR MOBILITY ; LAND ; CAPITAL MOVEMENTS;
    All these keywords.

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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