Capital Mobility in an Open Economy Model with Embodied Productivity Growth

Stephen Kosempel

No 506, Working Papers from University of Guelph, Department of Economics and Finance

Abstract: The primary objective of this article is to present a framework with which to analyze development and long-run growth in a small economy. The model that is constructed can be summarized as an open economy version of the Solow-Swan growth model, in which productivity growth is embodied within the factors of production. Extending the Solow-Swan model by permitting international capital flows and trade is necessary, since the majority of the World’s economies must reasonably be considered small and open. Furthermore, restricting technological change to be embodied within capital and labor will be necessary in order for the properties of the model to coincide with recent evidence on technological change and the sources of productivity growth.

Keywords: Convergence; Capital Mobility; Embodied Technological Change (search for similar items in EconPapers)
JEL-codes: F41 F43 O41 (search for similar items in EconPapers)
Pages: 45 pages
Date: 2005
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in Canadian Journal of Economics 40(4), 1237-1260, November 2007.

Downloads: (external link)
http://www.uoguelph.ca/economics/repec/workingpapers/2005/2005-06.pdf (application/pdf)

Related works:
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:gue:guelph:2005-6

Access Statistics for this paper

More papers in Working Papers from University of Guelph, Department of Economics and Finance Contact information at EDIRC.
Bibliographic data for series maintained by Stephen Kosempel ().