The curse and blessing of fixed specific factors in small-open economies
(2006)
Journal Article
Guilló, M. D., & Perez-Sebastian, F. (2007). The curse and blessing of fixed specific factors in small-open economies. Journal of Development Economics, 82(1), 58-78. https://doi.org/10.1016/j.jdeveco.2005.11.002
This paper investigates how a country's specific-factor endowment affects its long-run economic performance. We build an open-economy version of the two-sector neoclassical growth model in which we introduce fixed industry-specific inputs in both act... Read More about The curse and blessing of fixed specific factors in small-open economies.