TY  - JOUR
AU  - Rivera-Batiz,Luis A.
AU  - Romer,Paul M.
TI  - Economic Integration and Endogenous Growth
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 3528
PY  - 1990
Y2  - December 1990
UR  - http://www.nber.org/papers/w3528
L1  - http://www.nber.org/papers/w3528.pdf
N1  - Author contact info:
Paul M. Romer
Stern School of Business
New York University
E-Mail: paul@paulromer.net
AB  - In a world with two similar, developed economies, economic integration can cause a permanent increase in the worldwide rate of growth. Starting from a position of isolation, closer integration can be achieved by increasing trade in goods or by increasing flows of ideas. We consider two models with different specifications of the research and development sector that is the source of growth. Either form of integration can increase the long-run rate of growth if it encourages the worldwide exploitation of increasing returns to scale in the research and development sector.
ER  -