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

Alain Desdoigts () and Fernando Jaramillo ()

Journal of International Economics, 2009, vol. 79, issue 2, 248-258

Abstract: In this paper, we investigate international demand spillovers brought about by a global middle class and their impact on trade patterns and industrialization. We propose a multi-industry and two-country trade model featuring demand complementarities propagating increasing returns across industries and national boundaries. We show how the international extent of demand spillovers depends upon asymmetries in domestic income distribution, labor efficiency, and labor force size; that is, on the global distribution of real income.

Keywords: Trade; Spillovers; Nonhomothetic; preferences; World; income; distribution (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0022-1996(09)00098-1
Full text for ScienceDirect subscribers only

Related works:
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)
Working Paper: Trade, demand spillovers, and industrialization: the emerging global middle class in perspective (2007)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:inecon:v:79:y:2009:i:2:p:248-258

Access Statistics for this article

Journal of International Economics is currently edited by Gourinchas, Pierre-Olivier and Rodríguez-Clare, Andrés

More articles in Journal of International Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().