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Learning by doing, trade in capital goods and growth

Jacques Olivier () and Ai Ting Goh
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Jacques Olivier: GREGH - Groupement de Recherche et d'Etudes en Gestion à HEC - HEC Paris - Ecole des Hautes Etudes Commerciales - CNRS - Centre National de la Recherche Scientifique

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Abstract: This paper aims at reconciling theoretical models of endogenous growth with the empirical evidence on trade and growth. In particular, we show that the conventional wisdom according to which trade is growth-impairing for a country with comparative advantage in goods with limited opportunities for learning fails to hold when the imported good is a capital good. The intuition is that the country gains access to cheaper capital goods, which raises investment, output per worker and learning by doing.

Keywords: International trade; Capital accumulation; Endogenous growth; Learning by doing (search for similar items in EconPapers)
Date: 2002-03
Note: View the original document on HAL open archive server: https://hal-hec.archives-ouvertes.fr/hal-00460091
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Published in Journal of International Economics, Elsevier, 2002, Vol.56,n°2, pp.411-444. ⟨10.1016/S0022-1996(01)00124-6⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-00460091

DOI: 10.1016/S0022-1996(01)00124-6

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