Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/96350
Authors: 
Mukherjee, Soumyatanu
Year of Publication: 
2013
Series/Report no.: 
CREDIT Research Paper 13/07
Abstract: 
This note shows that in a developing economy, agriculture and Special Economic Zones (SEZ) can grow simultaneously without affecting one another if an appropriate subsidy policy is designed by the government. We consider increasing returns brought about by external economies of scale in the SEZ-led industrial sector with a Dixit-Stiglitz production function where resource used to produce each variety of the SEZ-good is itself produced using constant returns to scale (CRS) technology and CRS is also present in the agricultural sector.
Subjects: 
Special Economic Zones
Increasing Returns
External Economies of Scale
Dixit-Stiglitz type Production Function
JEL: 
C65
F12
F13
F16
J33
J43
Q17
Document Type: 
Working Paper

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