A Model of Trade and Growth with a Non-traded Service Sector.
This paper incorporates a nontraded service sector into an otherwise neoclassical model of trade and growth. The author's model can explain why the relative price of services, the expenditure share of services, and the employment share of the service sector all tend to rise with the level of per capita income, which is determined, in the long run, by the ratio of the saving rate to the rate of labor growth and the level of labor-augmenting technical progress. The author also finds that a rich country with a high level of technical progress, ceteris paribus, has comparative advantage in producing capital-intensive goods.
Year of publication: |
1993
|
---|---|
Authors: | Xu, Yingfeng |
Published in: |
Canadian Journal of Economics. - Canadian Economics Association - CEA. - Vol. 26.1993, 4, p. 948-60
|
Publisher: |
Canadian Economics Association - CEA |
Saved in:
Online Resource
Saved in favorites
Similar items by person
-
Essays on the theories of trade and growth
Xu, Yingfeng, (1990)
-
Lessons from Taiwan's experience of currency appreciation
Xu, Yingfeng, (2008)
-
Relevant international experience of real exchange rate adjustment for China
Xu, Yingfeng, (2009)
- More ...