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A Two sector fair wage model has been considered. It is shown that an exogenous inflow of foreign capital has no effect on unemployment; and the Brecher-Alejandro(1977) proposition remains valid in its original form when the efficiency function is similar to that of Aell and Lundbrg (1992,...
Persistent link: https://www.econbiz.de/10005252175
A time-minimization problem of attaining a full-employment state is solved in a dual economy model where the rural-urban migration mechanism is of Harris-Todaro type. The optimum solution may appear as a policy of urban development at the most rapid rate.
Persistent link: https://www.econbiz.de/10005824058