The theoretical framework presented here preserves many of the primary features of the standard neo-classical model, while introducing some modifications that transform it into an open economy endogenous growth model with knowledge accumulation. Knowledge accumulation is determined in part by...

This paper aims to model theoretically the fundamental links between financial development, foreign direct investment and economic development. In particular, we show that the entry of foreign capital flows can support an endogenous economic growth path of the host country. Indeed, we give the...

Models on innovation, for the most part, do not include a comprehensive and end-to-end view. Most innovation policy attention seems to be focused on the capacity to innovate and on input factors such as R&D investment, scientific institutions, human resources and capital. Such inputs frequently...

The author provides an alternative for the rationale for South-South trade as a vehicle for industrialization and development of developing countries in Asia-Pacific region as the literature on this issue is not satisfactory. Further, refuting the “de-coupling” thesis—that is, the East...

The author argues that although the collapse of the Doha “Development” Round in early summer of 2006 was triggered by the refusal of the United States to agree to the reduction of the ceiling on the amount of domestic subsidies paid to the US farmers, there were some fundamental reasons...

Abstract Both Mexico and China have started export orientation in some industries, through assembly operations, based on imported inputs a couple of decades ago. The literature on industrialization, has discussed the questions of import substitutions and outward-orientation mainly as alternative...

As our trading world becomes more globalized, who benefits and who gets hurt? This paper relies on the Ricardian model to explore the effects of technological improvements in underdeveloped countries on the welfare of developed countries. For example, trading between the United States and China,...

Given a world consisting of two countries, two commodities, and two consumers, this paper analyzes the potential effects of the current global trend of shifting world productions with regards to consumer goods. When technological improvements occur in a developing country, would terms of trade...

This paper examines the controversy involving international trade by employing a simple model. It analyzes the effects of unilateral technological improvements in one entity on the welfare of that entity and its trading partners. Improvements in one country are irreversible and lead to...

La relación entre la generación de tecnología y el desarrollo económico dependen de factores que condicionan a la primera y la hacen más o menos provechosa, tales como el tipo de tecnología que se produce, quién, cómo y dónde se genera, cómo se difunde y quién se apropia. Las...