The technology transfer paradox

Ronald Jones and Roy J. Ruffin

Journal of International Economics, 2008, vol. 75, issue 2, 321-328

Abstract: This paper examines whether a country that enjoys a superior technology in all commodities in a two-country, multi-commodity Ricardian setting could actually gain if its technology in which it possesses its greatest comparative advantage is stolen or transferred to the other country without any compensation. Such a paradoxical possibility is shown always to exist with a finite number of commodities and equal-shared Cobb-Douglas demand conditions for certain ranges of relative country size.

Date: 2008
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Persistent link: https://EconPapers.repec.org/RePEc:eee:inecon:v:75:y:2008:i:2:p:321-328

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