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Seminario PePe (Políticas Públicas) - Camilo Mesa
17 Mar
17 Mar
Activo
Presencial

Seminario PePe (Políticas Públicas) - Camilo Mesa

Facultad de Economía

12:30 pm 01:50 pm Universidad de los Andes - Salón RGD-211 - Bogotá - BDC

Facultad de Economía

We analyze the effects of international trade on the process of structural change. We show a positive correlation between openness and the share of the agricultural sector for developing economies, and present a model to rationalize this stylized fact. We built a two-sector model and compare the equilibrium under autarky and open economy. The results indicate that, for developing economies, international trade may delay structural change. Indeed, if the comparative advantage is in agricultural goods, trade leads to greater specialization in this kind of goods and lower participation of other goods.

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