Kakkar, Vikas - In: Review of International Economics 10 (2002) 1, pp. 166-76
The paper investigates the relationship between sectoral capital-labor ratios and total factor productivity (TFP) in the context of the Balassa-Samuelson model. It is shown that, under certain assumptions, the model implies that both traded- and nontraded-goods sectors' capital-labor ratios...