Comparative Advantage and Long-run Growth

Gene Grossman and Elhanan Helpman

American Economic Review, 1990, vol. 80, issue 4, 796-815

Abstract: The authors construct a dynamic, two country model of trade and growth in which endogenous technological progress results from the profit-maximizing behavior of entrepreneurs. They study the role that the external trading environment and that trade and industrial policies play in the determination of long-run growth rates. Cross-country differences in efficiency at R&D versus manufacturing (i.e., comparative advantage) bear importantly on the growth effects of economic structure and commercial policies. Copyright 1990 by American Economic Association.

Date: 1990
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Related works:
Working Paper: Comparative Advantage and Long-Run Growth (1989)
Working Paper: Comparative Advantage and Long-Run Growth (1988)
Working Paper: COMPARATIVE ADVANTAGE AND LONG-RUN GROWTH (1988)
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