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Two-way capital flows: cross-hauling in a model of foreign investment

Abstract:

This paper presents a simple model of a small open economy which is open to both commodity trade and foreign investment of a sector-specific kind, and which exhibits the phenomenon of ‘cross-hauling’, or reverse flows of internationally mobile capital in two different sectors. The model, which assumes that a single domestic factor is combined with internationally mobile but sector-specific capital in each of two sectors, one of which produces a non-traded good, appears to be the simplest poss...

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Publication status:
Published
Peer review status:
Peer reviewed

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Institution:
University of Rochester
Role:
Author
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Institution:
University of Oxford
Research group:
Industrial Economics
Oxford college:
Merton College
Department:
Social Sciences Division - Economics
Role:
Author
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Institution:
Economic and Social Research Institute
Role:
Author
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Funding agency for:
Ronald W. Jones
Publisher:
North-Holland Publishing Company
Journal:
Journal of international economics Journal website
Volume:
14
Issue:
3-4
Pages:
357-366
Publication date:
1983-05-05
DOI:
ISSN:
0022-1996
URN:
uuid:a2acded0-0c7a-4218-8428-b4bbcd2d7ebd
Local pid:
ora:2228
Language:
English
Keywords:
Subjects:

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