Trade, demand spillovers, and industrialization: the emerging global middle class in perspective

Alain Desdoigts () and Fernando Jaramillo ()

Cahiers de la Maison des Sciences Economiques from Université Panthéon-Sorbonne (Paris 1)

Abstract: In this paper, we investigate international demand spillovers broughtabout by a global middle class and their impact on trade patternsand industrialization. We propose a multi-industry and two-countrytrade model featuring demand complementarities propagating increas-ing returns across industries and national boundaries. We show howthe international extent of demand spillovers depends uponasymme-tries in domestic income distribution, labor efficiency, andlabor forcesize; that is, on the global distribution of real income

Keywords: Trade; Spillovers; Nonhomothetic preferences; World income dis-tribution (search for similar items in EconPapers)
JEL-codes: F10 O11 O14 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2006-02, Revised 2007-07
New Economics Papers: this item is included in nep-cis, nep-cwa, nep-dev, nep-int and nep-sea
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https://halshs.archives-ouvertes.fr/halshs-00111186 (application/pdf)

Related works:
Journal Article: Trade, demand spillovers, and industrialization: The emerging global middle class in perspective (2009)
Working Paper: Trade, demand spillovers and industrialization: The emerging global middle class in perspective (2009)
Working Paper: Trade, demand spillovers, and industrialization: The emerging global middle class in perspective (2009)
Working Paper: Trade, demand spillovers and industrialization: The emerging global middle class in perspective (2009)
Working Paper: Trade, demand spillovers, and industrialization: The emerging global middle class in perspective (2009)
Working Paper: Trade, demand spillovers, and industrialization: The emerging global middle class in perspective (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:mse:wpsorb:v06014a

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