Inequality and the import demand function (Journal article)

Adam, A./ Katsimi, M./ Moutos, T.

In this paper we assess the empirical importance of changes in inequality on the demand for imports by examining panel data for 59 developing and developed countries for the 1970-1997 period. We find significant evidence supporting that inequality has a large influence on the demand for imports. Moreover we find that this influence is positive for high-income countries (countries that mainly produce and export high quality varieties of vertically differentiated products) and negative for low-income countries (countries that produce and export low-quality varieties of vertically differentiated products). These findings are explained by developing a model of trade in vertically differentiated products.
Institution and School/Department of submitter: Πανεπιστήμιο Ιωαννίνων. Σχολή Οικονομικών και Κοινωνικών Επιστημών. Τμήμα Οικονομικών Επιστημών
URI: https://olympias.lib.uoi.gr/jspui/handle/123456789/11180
ISSN: 0030-7653
Appears in Collections:Άρθρα σε επιστημονικά περιοδικά ( Ανοικτά)

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