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Two sector models of open economies: a synthesis and an empirical application
Södertörn University College, School of Business Studies, Business studies.
2007 (English)Report (Other academic)
Abstract [en]

Some well-known two-sector models of industrial countries exhibit acrowding out effect or relationship between the main sectors of theeconomy. This is true of the Small Open Economy, traded-non-tradedgood model without nominal wage rigidity, and for the model of the DutchDisease. In contrast, important models of semi-industrialized countries, oreven emerging markets, such as the Bose Model, portray a complimentaryrelation between the various sectors. This paper discusses a possiblesynthesis between these differing model specifications, and tests theapplicability of these models for a large sample of industrial countries,emerging markets and developing economies by analyzing the interlinkagesin their sector growth patterns.

Place, publisher, year, edition, pages
Kozhikode: IIMK , 2007.
Series
, Indian Institute of Management Kozhikode, Working papers, 16/ECO/2007/05
Keyword [en]
Open Economy Models, Dutch Disease, Emerging Markets, Sectoral Growth Patterns
Identifiers
URN: urn:nbn:se:sh:diva-6658OAI: oai:DiVA.org:sh-6658DiVA: diva2:403159
Available from: 2011-03-11 Created: 2011-03-11Bibliographically approved

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