Sposi, Michael; Mutreja, Piyusha; Ravikumar, B. - Federal Reserve Bank of Dallas - 2014
Almost 80 percent of capital goods production in the world is concentrated in 10 countries. Poor countries import most … of their capital goods. We argue that international trade in capital goods has quantitatively important effects on … several trade and development facts within a unified framework. It is consistent with the world distribution of capital goods …