Imperfect labor mobility and unemployment in LDCs: Comment / Reply
In a recent paper, Parai and Beladi (1997) extend the well-known Harris-Todaro model to consider imperfect labor mobility. Beyond unambiguous, support for protection in the case of a small open economy with unemployment and imperfect labor mobility is given. It is shown that the PB conclusion that t...
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Published in | Southern economic journal Vol. 65; no. 1; p. 178 |
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Main Authors | , , , |
Format | Journal Article |
Language | English |
Published |
Stillwater
Southern Economic Association
01.07.1998
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Subjects | |
Online Access | Get full text |
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Summary: | In a recent paper, Parai and Beladi (1997) extend the well-known Harris-Todaro model to consider imperfect labor mobility. Beyond unambiguous, support for protection in the case of a small open economy with unemployment and imperfect labor mobility is given. It is shown that the PB conclusion that the optimal tariff is always positive is incorrect. Furthermore, this note contrasts PB's model with the existing literature on the open economy with unemployment. A response by Parai and Beladi is presented. |
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ISSN: | 0038-4038 2325-8012 |