Foreign enclaves, informal sector and urban unemployment: A theoretical analysis

Bandopadhyay, Titas Kumar (2002): Foreign enclaves, informal sector and urban unemployment: A theoretical analysis.

Abstract

ABSTRACT :- We consider a small open Harris-Todaro economy with a rural foreign enclave and urban informal sector. We introduce consumption-efficiency relation to explain the simultaneous existence of informal sector and urban unemployment. Different types of immobility and mobility of capital are assumed in different sections of this paper. We also analyse the effects of expansion of foreign enclave on urban unemployment and on domestic factor income. In many cases, we get the results opposite to that obtained in the young-Miyagiwa model.

• Item Type: MPRA Paper
• Institution: Bagnan College
• Language: English
• Keywords: FOREIGN ENCLAVES; INFORMAL SECTOR ; URBAN UNEMPLOYMENT
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O18 - Urban, Rural, Regional, and Transportation Analysis ; Housing ; Infrastructure

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