The parpose of this paper is to model and describe the consequences for labor markets in an underdeveloped economy of foreign Investment in an enclave sector.Foreign technology tends to expose some of the hidden talents in the local labor force.Replacement of foreign labor by domestic labor...

This paper explores the impact of credit market on the entrepreneurs and demand for credit in a credit constrained economy and the resultant impact on the capital flows. In standard trade models the capital flows across countries are explained as a result of the rate of return differentials due...

We present models that allow the use of unskilled and skilled labor as well as capital and land. Thus agriculture, important in developing countries, can be included as well as two types of labor and a single (or two) type(s) of physical capital. The models are related to the simple 3 x 2...