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Trade Policy and Economic Welfare$
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W. Max. Corden

Print publication date: 1997

Print ISBN-13: 9780198775348

Published to Oxford Scholarship Online: November 2003

DOI: 10.1093/0198775342.001.0001

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Protection and Capital Accumulation

Protection and Capital Accumulation

Chapter:
(p.162) 9 Protection and Capital Accumulation
Source:
Trade Policy and Economic Welfare
Author(s):

W. Max Corden (Contributor Webpage)

Publisher:
Oxford University Press
DOI:10.1093/0198775342.003.0009

Analyses how protection can affect saving, investment, and, through the latter, the rate of growth. The answers hinge in part on the static effects of protection on real income. Protection can also affect savings and investment through its effects on income distribution and on the relative price of capital goods. In addition, protection may affect aggregate learning (‘invisible capital accumulation’) by changing the economy's output mix.

Keywords:   growth rate, income distribution, investment, learning, output mix, protection, saving

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