Theories of consumption function have been tested for many developed and underdeveloped economies with grouped data sets. No empirical work has been done to confirm or disconfmn these theories in the oil-rich economies of the Middle East. This paper applies Kuwait's rich micro data of the...

This paper follows the new economic geography approach to model the relationships between trade policy and spatial agglomeration of production in the context of a small open developing economy. It constructs a general equilibrium model with interactions between centripetal forces and centrifugal...