Uncertainty and the Optimal Level of Specialization. Di Maio, M. & Valente, M. Research in Economics, 66(3):213–218, September, 2012. doi abstract bibtex Using a two-sector one-factor comparative-advantage-based trade model under uncertainty, we show that (1) to specialize according to comparative advantages may be sub-optimal in a multi-period setting; (2) there are conditions under which, even if agents are risk-neutral, the decentralized solution is inefficient and characterized by overspecialization. \^a\textordmasculine Comparative-advantage-induced full specialization may be sub-optimal in a multi-period setting. \^a\textordmasculine The centralized and the decentralized optimal level of specialization are different in a multi-period setting. \^a\textordmasculine The decentralized optimal level of specialization is inefficient and characterized by overspecialization.
@article{dimaioUncertaintyOptimalLevel2012,
title = {Uncertainty and the Optimal Level of Specialization},
author = {Di Maio, Michele and Valente, Marco},
year = {2012},
month = sep,
volume = {66},
pages = {213--218},
issn = {1090-9443},
doi = {10.1016/j.rie.2012.04.001},
abstract = {Using a two-sector one-factor comparative-advantage-based trade model under uncertainty, we show that (1) to specialize according to comparative advantages may be sub-optimal in a multi-period setting; (2) there are conditions under which, even if agents are risk-neutral, the decentralized solution is inefficient and characterized by overspecialization. \^a\textordmasculine{} Comparative-advantage-induced full specialization may be sub-optimal in a multi-period setting. \^a\textordmasculine{} The centralized and the decentralized optimal level of specialization are different in a multi-period setting. \^a\textordmasculine{} The decentralized optimal level of specialization is inefficient and characterized by overspecialization.},
journal = {Research in Economics},
keywords = {*imported-from-citeulike-INRMM,~INRMM-MiD:c-10618916,competition,economics,local-over-complication,overspecialization,uncertainty},
lccn = {INRMM-MiD:c-10618916},
number = {3}
}
Downloads: 0
{"_id":"22tRyDnZ5WZrtmfva","bibbaseid":"dimaio-valente-uncertaintyandtheoptimallevelofspecialization-2012","downloads":0,"creationDate":"2016-06-22T10:20:02.842Z","title":"Uncertainty and the Optimal Level of Specialization","author_short":["Di Maio, M.","Valente, M."],"year":2012,"bibtype":"article","biburl":"https://sharefast.me/php/download.php?id=zOUKvA&token=29","bibdata":{"bibtype":"article","type":"article","title":"Uncertainty and the Optimal Level of Specialization","author":[{"propositions":[],"lastnames":["Di","Maio"],"firstnames":["Michele"],"suffixes":[]},{"propositions":[],"lastnames":["Valente"],"firstnames":["Marco"],"suffixes":[]}],"year":"2012","month":"September","volume":"66","pages":"213–218","issn":"1090-9443","doi":"10.1016/j.rie.2012.04.001","abstract":"Using a two-sector one-factor comparative-advantage-based trade model under uncertainty, we show that (1) to specialize according to comparative advantages may be sub-optimal in a multi-period setting; (2) there are conditions under which, even if agents are risk-neutral, the decentralized solution is inefficient and characterized by overspecialization. \\^a\\textordmasculine Comparative-advantage-induced full specialization may be sub-optimal in a multi-period setting. \\^a\\textordmasculine The centralized and the decentralized optimal level of specialization are different in a multi-period setting. \\^a\\textordmasculine The decentralized optimal level of specialization is inefficient and characterized by overspecialization.","journal":"Research in Economics","keywords":"*imported-from-citeulike-INRMM,~INRMM-MiD:c-10618916,competition,economics,local-over-complication,overspecialization,uncertainty","lccn":"INRMM-MiD:c-10618916","number":"3","bibtex":"@article{dimaioUncertaintyOptimalLevel2012,\n title = {Uncertainty and the Optimal Level of Specialization},\n author = {Di Maio, Michele and Valente, Marco},\n year = {2012},\n month = sep,\n volume = {66},\n pages = {213--218},\n issn = {1090-9443},\n doi = {10.1016/j.rie.2012.04.001},\n abstract = {Using a two-sector one-factor comparative-advantage-based trade model under uncertainty, we show that (1) to specialize according to comparative advantages may be sub-optimal in a multi-period setting; (2) there are conditions under which, even if agents are risk-neutral, the decentralized solution is inefficient and characterized by overspecialization. \\^a\\textordmasculine{} Comparative-advantage-induced full specialization may be sub-optimal in a multi-period setting. \\^a\\textordmasculine{} The centralized and the decentralized optimal level of specialization are different in a multi-period setting. \\^a\\textordmasculine{} The decentralized optimal level of specialization is inefficient and characterized by overspecialization.},\n journal = {Research in Economics},\n keywords = {*imported-from-citeulike-INRMM,~INRMM-MiD:c-10618916,competition,economics,local-over-complication,overspecialization,uncertainty},\n lccn = {INRMM-MiD:c-10618916},\n number = {3}\n}\n\n","author_short":["Di Maio, M.","Valente, M."],"key":"dimaioUncertaintyOptimalLevel2012","id":"dimaioUncertaintyOptimalLevel2012","bibbaseid":"dimaio-valente-uncertaintyandtheoptimallevelofspecialization-2012","role":"author","urls":{},"keyword":["*imported-from-citeulike-INRMM","~INRMM-MiD:c-10618916","competition","economics","local-over-complication","overspecialization","uncertainty"],"downloads":0},"search_terms":["uncertainty","optimal","level","specialization","di maio","valente"],"keywords":["competition","economics","local-over-complication","overspecialization","uncertainty","*imported-from-citeulike-inrmm","~inrmm-mid:c-10618916"],"authorIDs":[],"dataSources":["5S2zj2hKW8TWTkuMq"]}