Welfare dynamics of the Ricardian-Mills model

Abstract:

Under general conditions, it has been proved that free trade improves the welfare of economies. Nevertheless, these conditions are not sufficient to guarantee that exist a path to drive an economy from autarky to free trade equilibrium. So that, it is not enough to know that economies are better off under free trade, if we do not know how to drive an economy from autarky to free trade. This paper analyzes the dynamic properties of the Ricardian-Mills model under commitment trade. One of the most features of this paper is its emphasis on the role of the information and pbkp_redictions over the dynamic properties of the model. © 2009 Nova Science Publishers, Inc. All rights reserved.

Año de publicación:

2011

Keywords:

• Ricardian-Mills model
• General equilibria
• Dynamic welfare
• Dynamic models

Fuente:

scopus