-sector overlapping generations model. It is shown that a strong form of the transfer paradox-- in which the donor country experiences a … is shown that a weak form of the transfer paradox—where either the donor or recipient (but not both) experience … paradoxical welfare effects—may characterize all segments of the transition path not already characterized by the strong transfer …

Samuelson (1947) stated that a regular equilibrium exhibits the transfer paradox if and only if it is unstable. Gale … reinterpret Samuelson’s result as identifying the threshold, i.e. the minimum level of trade beyond which the transfer paradox …

) terms of trade always works in favor of a transfer paradox. The conditions under which the transfer paradox is obtained are … Walrasian stability, we demonstrate that the change in the (static) terms of trade always works in favor of a transfer paradox …. The conditions under which the transfer paradox is obtained are independent of factor intensity rankings and also whether …

which the existence of sunspot equilibria is equivalent to the occurrence of the transfer paradox. This equivalence enables …

functions, the existence of sunspot equilibria is equivalent to the occurrence of the transfer paradox. This equivalence enables …

By using a two-country model with habit-forming consumers, this paper shows that the transfer paradox can take place in …, the intertemporal terms of trade effect immiserizes the recipient and enriches the donor. Although the transfer paradox … transfer paradox generically occurs. …