UNIFORM TECHNICAL PROGRESS: CAN IT BE HARMFUL?

Hamid Beladi, Sugata Marjit and Reza Oladi

Pacific Economic Review, 2006, vol. 11, issue 1, 33-38

Abstract: Abstract. In a model incorporating trade in final goods, intermediate goods and capital, we show how ‘uniform’ technical progress across sectors can lead to immiserization. The condition for immiserizing technical progress crucially depends on the pattern of specialization. Our results tend to hold in a more general specification of the basic structure.

Date: 2006
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