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Targeting Sectors for Foreign Capital Inflow in a Small Developing Economy.

We argue, in a model with trade and unemployment, that exogenous inflow of foreign capital may deliver the desired result when it flows to a protected intermediate-goods sector. Whether foreign investment should be directed towards an intermediate-goods sector or to a final-goods sector depends on the technological specifications of either type of goods as well as on the existing set of trade policies. Copyright 1997 by Blackwell Publishing Ltd.
Year of publication:
1997
Authors: Marjit, Sugata ; Broll, Udo ; Mitra, Sandip
Published in:
Review of International Economics. - Wiley Blackwell, ISSN 0965-7576. - Vol. 5.1997, 1, p. 101-06
Publisher: Wiley Blackwell
Type of publication: Article
Source:
Persistent link: https://www.econbiz.de/10005321531
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