KALDORIAN DEMAND FUNCTIONS AND THE RETURN TO CAPITAL : AN ANALYSIS IN A TRADE THEORETIC FRAMEWORK

Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review

1 Scopus Citations
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Author(s)

  • Manmohan Agarwal
  • Bharat R. Hazari

Related Research Unit(s)

Detail(s)

Original languageEnglish
Pages (from-to)113-118
Number of pages6
Journal / PublicationPacific Economic Review
Volume14
Issue number1
Publication statusPublished - Feb 2009

Conference

TitleConference on Institutions - Efficiency, Growth and Equity
PlaceIndia
CityNew Delhi
Period8 - 10 February 2007

Abstract

This paper shows that under certain plausible conditions capital accumulation raises the return to capital. A three good trade theoretic model with Kaldorian demand functions is used to establish this result. This proposition is also independent of the assumption of diminishing return to capital a key feature of endogenous growth theory. Our result sheds light on the high rates of investment and growth that many East Asian economies have achieved.

Citation Format(s)

KALDORIAN DEMAND FUNCTIONS AND THE RETURN TO CAPITAL: AN ANALYSIS IN A TRADE THEORETIC FRAMEWORK. / Agarwal, Manmohan; Hazari, Bharat R.
In: Pacific Economic Review, Vol. 14, No. 1, 02.2009, p. 113-118.

Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review