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Cheng-te Lee
 
''The Enlargement of an Integrated Economy and Growth''
( 2009, Vol. 29 No.2 )
 
 
This paper explores the growth effects of the enlargement of an integrated economy by making use of a many-country equilibrium growth model with heterogeneous labor. We prove that the impact of the number of member countries on the integrated economy''s growth rate is positive. In addition, we also analyze the growth effects of the individual countries after integration. We find that enlargement may be detrimental to the economic growth of advanced countries.
 
 
Keywords: diversity, enlargement, growth, factor mobility
JEL: F2 - International Factor Movements and International Business: General
F0 - International Economics: General
 
Manuscript Received : May 09 2009 Manuscript Accepted : Jun 28 2009

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