Pellegrino, Bruno; Spolaore, Enrico; Wacziarg, Romain - 2021
benchmark calibration, we estimate that the capital misallocation induced by these barriers reduces World GDP by 7%, compared to … a situation without barriers. We also find that barriers to global capital allocation contribute significantly to cross …-country inequality: the standard deviation of log capital per employee is 80% higher than it would be in a world without barriers to …
