IDEAS home Printed from
   My bibliography  Save this paper

Factor Accumulation, Tariffs and Immiserizing Growth


  • Frank Flatters

    (Queen's University)


International trade theorists recently have rediscovered a possibility, pointed many years ago by F.Y. Edgeworth, that growth in an open economy might actually decrease the welfare of the community. According to Bhagwati, immiserization could occur as the result of growth only in the presence of non-optimal policies. In the first case, where the terms of trade could be affected by the actions of the home country, the appropriate policy would be to impose an optimum tariff at all points in time. In the second case, where the country was so small that it could not affect the terms of trade, the optimal policy would be free trade. The purpose of this paper is to derive conditions for the occurence of immiserization due to factor accumulation, first in the sense of declining aggregate real incomes (section 1) and second in the sense of declining per capita incomes (section 2).

Suggested Citation

  • Frank Flatters, 1972. "Factor Accumulation, Tariffs and Immiserizing Growth," Working Papers 83, Queen's University, Department of Economics.
  • Handle: RePEc:qed:wpaper:83

    Download full text from publisher

    File URL:
    File Function: First version 1972
    Download Restriction: no

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:qed:wpaper:83. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Babcock). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.