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The Effect of Globalization in an Endogenous Growth Model with Heterogeneous Firms and Endogenous International Spillovers: Note

Author

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  • Katsufumi Fukuda

    (Graduate School of Economics, Kobe University, JAPAN)

Abstract

This paper shows that globalization increases (decreases) the growth rate if and only if the beachhead cost for the domestic market is strictly higher (lower) than that for the foreign market in a endogenous growth model with firm heterogeneity, international trade, and endogenous international spillover under specified necessary and sufficient conditions for exporting firms being more productive than non-exporting firms.

Suggested Citation

  • Katsufumi Fukuda, 2013. "The Effect of Globalization in an Endogenous Growth Model with Heterogeneous Firms and Endogenous International Spillovers: Note," Discussion Paper Series DP2013-24, Research Institute for Economics & Business Administration, Kobe University.
  • Handle: RePEc:kob:dpaper:dp2013-24
    as

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    File URL: http://www.rieb.kobe-u.ac.jp/academic/ra/dp/English/DP2013-24.pdf
    File Function: First version, 2013
    Download Restriction: no

    References listed on IDEAS

    as
    1. Taiji Furusawa & Hideo Konishi, 2013. "International Trade and Income Inequality," Boston College Working Papers in Economics 849, Boston College Department of Economics, revised 01 Nov 2016.
    2. Michael A. Clemens & Jeffrey G. Williamson, 2004. "Why did the Tariff--Growth Correlation Change after 1950?," Journal of Economic Growth, Springer, vol. 9(1), pages 5-46, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Heterogeneous firms; Endogenous international spillovers; Endogenous growth theory;

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F15 - International Economics - - Trade - - - Economic Integration
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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