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(De)Industrialization, Technology and Transportation
Open Economies Review ( IF 1.5 ) Pub Date : 2020-08-26 , DOI: 10.1007/s11079-020-09600-8
Armando J. Garcia Pires , José Pedro Pontes

The transition from a traditional, constant returns technology to modern, increasing returns methods of production in manufacturing not only widens the scale of production but more crucially, it enhances product quality. Such a quality improvement consists mainly in a much higher level of transportability. The fact that products become “lighter” and easier to carry opens foreign markets to manufacturers thereby supporting larger scales of production. We model this situation through a one-stage game where firms distributed across two countries select technologies and fob mill prices. Contrasting with the Big Push approach, such a game is never a coordination game. In addition to cases where all firms adopt either modern or traditional technologies, the standard outcome is an asymmetric situation, where the modern firms in a country eliminate traditional units in the other country. Starting from a situation where all productive activity is traditional, deindustrialization can be viewed as a situation where firms in a country switch to more modern technologies while industrial units in the other country are unable to participate in this movement.



中文翻译:

(去)工业化、技术和交通

制造业从传统的、持续收益的技术向现代的、收益递增的生产方法的转变,不仅扩大了生产规模,更重要的是,它提高了产品质量。这种质量改进主要在于更高水平的可运输性。产品变得“更轻”和更容易携带的事实为制造商打开了国外市场,从而支持更大规模的生产。我们通过一个单阶段博弈来模拟这种情况,其中分布在两个国家的公司选择技术和FOB 工厂价格。与Big Push方法相比,这样的游戏永远不会一个协调游戏。除了所有公司都采用现代或传统技术的情况外,标准结果是不对称情况,即一个国家的现代公司淘汰另一个国家的传统单位。从所有生产活动都是传统的情况开始,去工业化可以被视为一个国家的公司转向更现代的技术而另一个国家的工业单位无法参与这一运动的情况。

更新日期:2020-08-26
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