Export Processing Zones, Backward Linkages, and Variable Returns to Scale

Shigemi Yabuuchi

Review of Development Economics, 2000, vol. 4, issue 3, 268-278

Abstract: This paper investigates the effects of forming export processing zones on factor rewards, national income, and the intermediate‐good‐producing sector under variable returns to scale (VRS). It is shown that the results obtained in the model under constant returns to scale are substantially modified if VRS is incorporated into the model.

Date: 2000
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