A lab-equipment model of growth with heterogeneous firms and asymmetric countries

Takumi Naito*

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

1 Citation (Scopus)

Abstract

By extending the Rivera-Batiz–Romer lab-equipment model of growth with expanding input varieties to include both heterogeneous firms and asymmetric countries, we show that even unilateral trade liberalization always raises both countries’ long-run growth and welfare.

Original languageEnglish
Pages (from-to)33-36
Number of pages4
JournalEconomics Letters
Volume181
DOIs
Publication statusPublished - 2019 Aug

Keywords

  • Asymmetric countries
  • Endogenous technological change
  • Heterogeneous firms
  • Lab-equipment model
  • Unilateral trade liberalization

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics

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