Browsing by Author P. Niluka S. P., Ekanayake

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  • Authors: P. Niluka S. P., Ekanayake; Jakob B., Madsen; Tushar, Bharati;  Advisor: -;  Co-Author: - (2023)

    Since the appearance of the seminal paper of Frankel and Romer (Am Econ Rev 89(3): 379–399, 1999), ‘Does trade cause growth?’, the impact of aggregate trade openness on income has been controversial. This research shows that the type of product that is traded has first-order effects, while overall trade intensity has second-order effects on per capita income because of (i) the hierarchical structure of learning-by-doing in products with different levels of sophistication of the production processes; and (ii) the fertility and education effects of trade specialization following the quantity–quality tradeoff framework of Galor and Mountford (Am Econ Rev 96(2): 299–303, 2006). Using data...