Scale effects in growth: A role for institutions Export

@article{citeulike:2682920, abstract = {Reliance on a Dixit-Stiglitz production function leads the growth literature na\"{i}vely to associate economic scale with the size of a country's population. I develop an alternative approach in which market size is endogenous, reflecting a trade-off between the gains to exploiting non-rival skills and market transaction costs. Transaction costs reflect a country's institutional framework. The model supports scale effects in transitional growth rates and steady state income levels, suggesting scale effects may be important for developing countries. In this framework effective market size depends on a country's institutions. It is independent of population size and other macroeconomic variables.}, author = {Davis, Lewis S.}, citeulike-article-id = {2682920}, citeulike-linkout-0 = {http://dx.doi.org/10.1016/j.jebo.2006.05.007}, citeulike-linkout-1 = {http://www.sciencedirect.com/science/article/B6V8F-4MNYYTV-1/1/444971906ff1b21f354fb7bcebba5fb6}, doi = {10.1016/j.jebo.2006.05.007}, journal = {Journal of Economic Behavior \& Organization}, keywords = {antitrust, architecture, development, institutions, knowledgeinstitutions, macro, micro, multi-level, nesting, patent-pool, product-platform, roadmapping, social-choice, value-articulation}, month = {May}, number = {2}, pages = {403--419}, posted-at = {2008-04-18 08:19:01}, priority = {5}, title = {Scale effects in growth: A role for institutions}, url = {http://dx.doi.org/10.1016/j.jebo.2006.05.007}, volume = {66}, year = {2008} }

TY - JOUR ID - citeulike:2682920 L3 - citeulike-article-id:2682920 N2 - Reliance on a Dixit-Stiglitz production function leads the growth literature naïvely to associate economic scale with the size of a country's population. I develop an alternative approach in which market size is endogenous, reflecting a trade-off between the gains to exploiting non-rival skills and market transaction costs. Transaction costs reflect a country's institutional framework. The model supports scale effects in transitional growth rates and steady state income levels, suggesting scale effects may be important for developing countries. In this framework effective market size depends on a country's institutions. It is independent of population size and other macroeconomic variables. IS - 2 JF - Journal of Economic Behavior & Organization EP - 419 TI - Scale effects in growth: A role for institutions VL - 66 SP - 403 KW - antitrust KW - architecture KW - development KW - institutions KW - knowledgeinstitutions KW - macro KW - micro KW - multi-level KW - nesting KW - patent-pool KW - product-platform KW - roadmapping KW - social-choice KW - value-articulation AU - Davis, Lewis PY - 2008/05// UR - http://dx.doi.org/10.1016/j.jebo.2006.05.007 ER -