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https://doi.org/10.2478/zireb-2018-0002

Economic Growth and Inequality with Tourism in an Integrated Walrasian-General Equilibrium and Neoclassical-Growth Theory

Wei-Bin Zhang ; Ritsumeikan Asia Pacifi c University, Beppu-shi, Japan


Puni tekst: engleski pdf 1.917 Kb

str. 17-35

preuzimanja: 500

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Sažetak

This paper studies dynamic interdependence between economic growth, tourism, and inequalities in income and wealth in a small open economy. We build the dynamic model in an integrated Walrasian-general equilibrium and neoclassical-growth theory for a small open economy with multiple sectors and heterogeneous households in a perfectly competitive economy. The economy consists of one service sector which supplies non-traded services and one industrial sector which produces traded goods. We treat wealth accumulation and land distribution between housing and supply of services as endogenous variables. We show that the motion of the economy with J types of households is given by J nonlinear differential equations. We simulate the motion of the system with three groups of households. We also conduct comparative dynamic analysis with regards to the rate of interest, the price elasticity of tourism, the global economic condition, and the rich class’ human capital, and the rich class’ propensity to consume housing.

Ključne riječi

tourism; price elasticity of tourism; heterogeneous households; capital accumulation; land rent; integrated Walrasian and neoclassical-growth theory

Hrčak ID:

200882

URI

https://hrcak.srce.hr/200882

Datum izdavanja:

31.5.2018.

Posjeta: 1.403 *