The Liberalization of Trade and FDI

ciated with a greater share of the variety benefits than FDI liberalization. Therefore, having trade and ... a (w,r)H + a(w,r)Q = E (4) a (w,r)H + a(w,r)2= K (5) where a, represents the unit input requirements offactor i in industryj. The product market is also assumed to clear: pQ = E (6) ..... a(n)n + aro(win)xn = K (13). In addition ...

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