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International Income Transfers under Technological Uncertainty

Shiro Takeda ()

No 2001-01, Discussion Papers from Graduate School of Economics, Hitotsubashi University

Abstract: This paper examines the effects of international income transfers in the presence of technological uncertainty and shows the following results. First, a transfer paradox can occur only if the rates of return from assets are not equalized between the donor and the recipient. Second, the more risk-averse consumers are in both countries, the more likely a transfer paradox is to occur.

Keywords: Transfer; Uncertainty; Attitude toward risk (search for similar items in EconPapers)
JEL-codes: F10 D80 (search for similar items in EconPapers)
Pages: 20 p.
Date: 2001-01
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http://hermes-ir.lib.hit-u.ac.jp/hermes/ir/re/17026/070econDP01-01.pdf

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