González-Val, Rafael and Lanaspa, Luis and Pueyo, Fernando (2008): Trade policies, concentration, growth and welfare.
Download (137kB) | Preview
The aim of this paper is to analyse, through a theoretical model, the effects that the trade integration of two countries may have on industrial location, growth and welfare. The conclusions reached finally depend both on whether the import or the export costs are affected by the trade policies on which the integration process is based and on whether the rich or the poor country introduces them. In general, when integration leads to an increase of industrial concentration in the rich country, the growth rate increases and welfare improves in both countries. If integration means that industry moves to the poor country, the growth rate decreases; in spite of this, in this case the poor country can also improve its welfare.
|Item Type:||MPRA Paper|
|Original Title:||Trade policies, concentration, growth and welfare|
|Keywords:||Trade integration, industrial location, growth, welfare|
|Subjects:||H - Public Economics > H5 - National Government Expenditures and Related Policies > H54 - Infrastructures ; Other Public Investment and Capital Stock
F - International Economics > F1 - Trade > F15 - Economic Integration
R - Urban, Rural, Regional, Real Estate, and Transportation Economics > R1 - General Regional Economics > R12 - Size and Spatial Distributions of Regional Economic Activity
F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F43 - Economic Growth of Open Economies
|Depositing User:||Rafael González-Val|
|Date Deposited:||26. Jul 2008 03:10|
|Last Modified:||15. Jan 2014 16:01|
Boldrin, M. and F. Canova (2001). Inequality and convergence: Reconsidering European Regional Policies. Economic Policy 16, 32:207-53.
Garcia-Milà, T. and T. McGuire (2001). Do interregional transfers improve the economic performance of poor regions? The case of Spain. International Tax and Public Finance 8, 5:281-95.
Gençtürk, E. F. and M. Kotabe (2001). The Effect of Export Assistance Program Usage on Export Performance: A Contingency Explanation. Journal of International Marketing 9, 51-72.
Gil Pareja, S., R. Llorca Vivero and J. A. Martínez Serrano (2008). Measuring the impact of regional export promotion: The Spanish case. Papers in Regional Science 87, 139-145.
Glaeser, E.L., H. Kallal, J. Scheinkman and A. Schleifer (1992). Growth in cities. Journal of Political Economy 100, 1126-1152.
Grossman, G. and E. Helpman (1991). Innovation and growth in the world economy. MIT Press, Cambridge, MA.
Hanson, G. H. (1997). Increasing returns, trade and the regional structure of wages. Economic Journal 107:113-33.
Hanson, G. H. (1998). North American economic integration and industry location. Oxford Review of Economic Policy 14:30-44.
Helpman E. and P. Krugman (1985). Market structure and foreign trade. MIT Press, Cambridge, MA.
Henderson, V., A. Kuncoro and M. Turner (1995). Industrial development in cities. Journal of Political Economy 103 (5), 1067-1090.
Hirose, K. and K. Yamamoto (2007). Knowledge spillovers, location of industry, and endogenous growth. Annals of Regional Science 41, 17-30.
Huber, P. (2004). An empirical analysis of the regional effects of European integration. Manuscript, WIFO, Vienna.
Jacobs, J. (1969). Economy of Cities. Vintage, New York.
Krugman, P. (1991). Increasing returns and economic geography. Journal of Political Economy 99, 483-499.
Lanaspa, L. and F. Sanz (2004). Regional policy and industrial location decisions. Investigaciones Económicas XXVIII (1), 67-87.
Lederman, D., M. Olarreaga and L. Payton (2006). Export promotion agencies: What works and what doesn’t. World Bank Policy Research Working Paper 4044.
Martin P. (1999). Public policies, regional inequalities and growth. Journal of Public Economics 73:85-105.
Martin P. and G.I.P. Ottaviano (1999). Growing locations: industry location in a model of endogenous growth. European Economic Review 43:281-302.
Martin P. and C.A. Rogers (1995). Industrial location and public infrastructure. Journal of International Economics 39:335-351.
Ottaviano, G.I.P. and D. Puga (1997). Agglomeration in the global economy: A survey of the ‘New Economic Geography’. Centre for Economic Performance. Discussion paper No.356.
Pflüger, M. and J. Südekum (2007). Integration, agglomeration and welfare. Journal of Urban Economics, in press.
Pollard, J. and M. Storper (1996). Metropolitan employment change in dynamic industries in the 1980s. Economic Geography 72:1-22.
Puga, D. (2002). European regional policies in light of recent location theories. Journal of Economic Geography 2, pp. 373-406.
Rodríguez-Pose, A. and U. Fratesi (2003). Between development and social policies: the impact of European Structural Funds in objective 1 regions. European Economy Group, working paper no. 28/2003.
Romer, P. (1990). Endogenous technical change. Journal of Political Economy 98(5):S71-S102.
Rose, A. (2005). The foreign service and foreign trade: Embassies as export promotion. NBER Working Paper 11111.
Samuelson, P. (1954). The transfer problem and transport costs, II: analysis of effects of trade impediments. Economic Journal 64:264-289.
Sheringhaus, F.H. and P. Rosson (1990). Government Export Promotion. Routledge.
Sjöberg, Ö. (2004). Trade liberalization and the geography of production: agglomeration, concentration, and dispersal in Indonesia’s manufacturing industry. Economic Geography 80(3):287-310.
Vickerman, R.; K. Spiekemann, and M. Wegener (1999). Accesibility and economic development in Europe. Regional Studies 33, 1:1-15.
Available Versions of this Item
- Trade policies, concentration, growth and welfare. (deposited 26. Jul 2008 03:10) [Currently Displayed]