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We show that even in the absence of diminishing returns in production and techno-logical spillovers, international trade leads to a stable world income distribution. This is because specialization and trade introduce de facto diminishing returns: countries that accumulate capital faster than...
Persistent link: https://www.econbiz.de/10013249141
We show that even in the absence of diminishing returns in production and techno-logical spillovers, international trade leads to a stable world income distribution. This is because specialization and trade introduce de facto diminishing returns: countries that accumulate capital faster than...
Persistent link: https://www.econbiz.de/10012470646
We show that even in the absence of diminishing returns in production and technological spillovers, international trade leads to a stable world income distribution. This is because specialization and trade introduce de facto diminishing returns: Countries that accumulate capital faster than...
Persistent link: https://www.econbiz.de/10014139207
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We study the dynamic taxation of capital and labor in the Ramsey model under the assumption that taxes and public good provision are decided by a self-interested politician who cannot commit to policies. We show that, as long as the discount factor of the politician is equal to or greater than...
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rapidly raising productivity while making workers redundant. This paper explores the evidence for this view among the IT …-using U.S. manufacturing industries. There is some limited support for more rapid productivity growth in IT … expectations, is that output contracts in IT-intensive industries relative to the rest of manufacturing. Productivity increases …
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