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Liberalisation and structural change with rural–urban dichotomies: a general equilibrium outlook

Liberalisation and structural change with rural–urban dichotomies: a general equilibrium outlook
Liberalisation and structural change with rural–urban dichotomies: a general equilibrium outlook
This chapter deals with the structural change and employment outcomes of welcoming FDI and opening the import-competing sector of the economy to more foreign competition within the framework of a three-sector mobile capital version of Harris-Todaro (HT hereafter) type general equilibrium model, describing rural-urban migration, with the existence of a rural nonfarm sector producing non-traded intermediate input. Main findings support the fact that because of different trade reform policies, registered urban manufacturing sectors have experienced increased competition from foreign markets which has forced them to switch towards relatively capital-intensive techniques of production, resulting in the retrenchment of relatively less productive workers and ending up with jobless pattern of growth in these sectors during the liberalised regime. These results are predominantly fascinating for the counterintuitiveness of the predictions, as opposed to the standard HT model.
Rural-urban dualism;, Migration;, Rural nonfarm production;, Urban unemployment;, Welfare
2199-5974
1
Springer Singapore
Mukherjee, Soumyatanu
3eb37c57-3efd-4203-a81b-de3acad02811
Banerjee, Shreya
8cd98ef6-be8e-4f4d-a7d7-e403c1e71b92
Batabyal, Amitrajeet A.
Higano, Yoshiro
Nijkamp, Peter
Mukherjee, Soumyatanu
3eb37c57-3efd-4203-a81b-de3acad02811
Banerjee, Shreya
8cd98ef6-be8e-4f4d-a7d7-e403c1e71b92
Batabyal, Amitrajeet A.
Higano, Yoshiro
Nijkamp, Peter

Mukherjee, Soumyatanu and Banerjee, Shreya (2021) Liberalisation and structural change with rural–urban dichotomies: a general equilibrium outlook. In, Batabyal, Amitrajeet A., Higano, Yoshiro and Nijkamp, Peter (eds.) Rural–Urban Dichotomies and Spatial Development in Asia. (New Frontiers in Regional Science: Asian Perspectives, 1, 48) Springer Singapore. (doi:10.1007/978-981-16-1232-9).

Record type: Book Section

Abstract

This chapter deals with the structural change and employment outcomes of welcoming FDI and opening the import-competing sector of the economy to more foreign competition within the framework of a three-sector mobile capital version of Harris-Todaro (HT hereafter) type general equilibrium model, describing rural-urban migration, with the existence of a rural nonfarm sector producing non-traded intermediate input. Main findings support the fact that because of different trade reform policies, registered urban manufacturing sectors have experienced increased competition from foreign markets which has forced them to switch towards relatively capital-intensive techniques of production, resulting in the retrenchment of relatively less productive workers and ending up with jobless pattern of growth in these sectors during the liberalised regime. These results are predominantly fascinating for the counterintuitiveness of the predictions, as opposed to the standard HT model.

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Accepted/In Press date: 19 June 2021
Published date: 2 July 2021
Keywords: Rural-urban dualism;, Migration;, Rural nonfarm production;, Urban unemployment;, Welfare

Identifiers

Local EPrints ID: 450059
URI: http://eprints.soton.ac.uk/id/eprint/450059
ISSN: 2199-5974
PURE UUID: e44af211-4a05-4c22-92fd-c495b52ff931
ORCID for Soumyatanu Mukherjee: ORCID iD orcid.org/0000-0003-0674-1064

Catalogue record

Date deposited: 07 Jul 2021 16:31
Last modified: 16 Mar 2024 12:48

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Contributors

Author: Soumyatanu Mukherjee ORCID iD
Author: Shreya Banerjee
Editor: Amitrajeet A. Batabyal
Editor: Yoshiro Higano
Editor: Peter Nijkamp

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