Original scientific paper
https://doi.org/10.1080/1331677X.2020.1724552
Ricardian model theory under different transfer forms and input factors
Marcus Gumpert
orcid.org/0000-0003-1211-7276
Rüdiger Wink
Abstract
Desmet and Ortın analysed regional development using a Ricardian
model theory. This paper uses their framework. The authors analyse
the influence of wage subsidization, unemployment benefit,
public employment management, consideration of the demographic
factor and asymmetric value of the input factor labor on
the development of regional inequalities between regions. By
reducing the labor in the Ricardian model framework, the input
factor can be reduced. The lower input factor labor leads to a
reduction in the world market supply and to lower production,
which in turns to decline in prosperity. Practical relevance results
from the effects of external shocks such as unemployment benefits
or demographic aspects. Both aspects reduce the labor population
(asymmetric distribution of the input factor labor). This damages
the advanced region rather than the underdeveloped region.
Keywords
Regional economic disparities; Ricardian model theory; transfer forms; Development; Environmental Issues and Changes
Hrčak ID:
254406
URI
Publication date:
9.2.2021.
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