International integration and long- run persistence of the GNP distribution

• Autor(a) principal: Glachant, Jérôme
• Data de Publicação: 1999
• Tipo de documento: Artigo
• Idioma: eng
• Título da fonte: Repositório Institucional do FGV (FGV Repositório Digital)
• Texto Completo: http://hdl.handle.net/10438/12204
• topic: Economia; Modelos econômicos

We use the Ramsey model of g,Towth elaborated by Bliss [1995] and Ventlira [1997] to show how international integration results in long-nm persistellce Df GNPs distribution, while allowing, under certain conditions on parameters, for convergellce during the transition. First, we pi·ovide relationships which explicitly relate, in the neighborhood of the steady-state, the magnitude of conditional convergence or divergence to the fundamentaIs of the economies. Second, we present ali analysis of the Cobb Douglas case with a broad dass of utility functions and show that there is always transitional convergenee with this technology. Third, directions for testing the Illodel against the traditional dosed-ecollomy setting are proposed. These lead to adding specific and world-wide regTessors to traditional growth regressions.