Author : Stephen Redding
Publisher :
ISBN 13 :
Total Pages : pages
Book Rating : 4.:/5 (2 download)
Book Synopsis Distance, Skill Deepening and Development by : Stephen Redding
Download or read book Distance, Skill Deepening and Development written by Stephen Redding and published by . This book was released on 2003 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: "This paper models the relationship between countries' distance from global economic activity, endogenous investments in education, and economic development. Firms in remote locations pay greater trade costs on both exports and intermediate imports, reducing the amount of value added left to remunerate domestic factors of production. If skill- intensive sectors have higher trade costs, more pervasive input-output linkages, or stronger increasing returns to scale, we show theoretically that remoteness depresses the skill premium and therefore incentives for human capital accumulation. Empirically, we exploit structural relationships from the model to demonstrate that countries with lower market access have lower levels of educational attainment. We also show that the world''s most peripheral countries are becoming increasingly economically remote over time"--London School of Economics web site.