We present a theory of spatial development. Manufacturing and services …rms located in a continuous geographic area choose each period how much to innovate. Firms trade subject to transport costs and technology di¤uses spatially across locations. The result is a spatial endogenous growth theory that can shed light on the link between the evolution of economic activity over time and space. We ap...

researches in exploring of driving forces of regional endogenous development, concentrate on subjects which have been so controversial. regional endogenous development (red), together with other core regional development concepts, is usually focused on the sub-national regional development process of the home country. this paper attempts to conceptualize and examine regional endogenous developm...

Abstract In an empirical, dynamic simultaneous equation model (DSEM) for Brazil with 22 equations and variables, we show that foreign income is a driver of economic growth besides semi-endogenous technical change. With balance-of-payments constraint endogenous terms trade, the major mechanism (i) world GDP driving exports, (ii) exports paying imported capital goods, which (iii) enter production...

Introduction 1.1 There has been a flowering of theoretical literature in “ new” or endogenous growth theory in the last decade, primarily motivated by the divergent growth experiences of different countries, which the neoclassical growth theory of the Solow (1956)-Swan (1956) genre is incapable of addressing. The path-breaking works of Romer (1986, 1990), Lucas (1988), Prescott and Boyd (1987),...

The proposition that trade causes economic growth is a rich in international economic theory. Even so, how best to estimate and test for the effects of trade on economic growth remains a challenge to-date, mainly because of the joint determination of the empirical measures of both trade and economic growth. Professors Jeffrey Frankel and David Romer have offered and employed an insightful metho...