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Large Fluctuations in Consumption in Least Developed Countries


  • Kodama, Masahiro


The objective of this paper is to shed light on mechanism which increases fluctuationin consumption of least developed countries. In general large fluctuation inconsumption makes consumers worse off. This fact suggests that accumulation ofknowledge on the generating mechanism of the large consumption fluctuation verylikely contributes to welfare improvement of the least developed countries, throughpolicies stabilizing consumption. We specifically investigated the fluctuation in consumption, through the numerical analysis with a dynamic macroeconomic model.

Suggested Citation

  • Kodama, Masahiro, 2010. "Large Fluctuations in Consumption in Least Developed Countries," IDE Discussion Papers 227, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  • Handle: RePEc:jet:dpaper:dpaper227

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    References listed on IDEAS

    1. Norlela Ariffin & Paulo Figueiredo, 2004. "Internationalization of innovative capabilities: counter-evidence from the electronics industry in Malaysia and Brazil," Oxford Development Studies, Taylor & Francis Journals, vol. 32(4), pages 559-583.
    2. Dahlman, Carl J. & Ross-Larson, Bruce & Westphal, Larry E., 1987. "Managing technological development: Lessons from the newly industrializing countries," World Development, Elsevier, vol. 15(6), pages 759-775, June.
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    More about this item


    Consumption; LDC; Developing countries;

    JEL classification:

    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics

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