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International Journal of Business and Economics

International Journal of Business and Economics
Volume 3, No. 3

December, 2004
 
Immiserizing Growth in a Developing Economy Export Enclave
 
Nitesh Saha
Department of Economics, Utah State University, U.S.A.
 
John Gilbert
Department of Economics, Utah State University, U.S.A.
 
Abstract
Using a general equilibrium model of a protected developing economy, we demonstrate that imperfect labor mobility may eliminate the possibility of immiserizing growth from foreign investment in an export enclave by allowing job creation to countervail losses in tariff revenue.
 
Keywords:export enclaves, protection, immiserizing growth.
 
JEL Classifications:F11, F13, F21, J60.
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