Cai, Jie; Li, Nan; Santacreu, Ana Maria - 2017
, and knowledge diffusion. We study the effect of trade liberalization in a multi-country, multi-sector endogenous growth … model in which comparative advantage and the stock of knowledge are determined by innovation and diffusion. A reduction in … into higher growth along the counterfactual balanced growth path (BGP). Heterogeneous knowledge diffusion across country …