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The paper develops a unified general equilibrium model includingsavings with overlapping generations, investment and …
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-sector small open economy, an effect which has largely been neglected in trade theory literature. We show that ignoring the …
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Using a gravity-type explanation of international trade flows at the industry level, it is shown that the pattern of comparative advantage in terms of sectoral export/import ratios in bilateral trade can be explained by relative income and relative per capita income. Total income of a country is...
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