Escaping the poverty trap in a developing rural economy
研究了发展中农村经济如何通过技术转移或育儿税等政策摆脱长期人均消费仅维持生存水平的贫困陷阱，发现外国制造业部门只能暂时提高劳动收入。
Abstract. In this paper, we examine the economic policies that might allow a developing rural economy to escape from the poverty trap characterized by a subsistence level of per capita consumption in the long run. In our model where labour is combined to land available in fixed quantity to produce a homogeneous good, saving could be made through only having children, the number of which is an endogenous decision. We provide conditions under which the economy runs into a poverty trap, and proceed to analyse the relevant policies in this case. We demonstrate that an escape from this poverty trap is possible through a suitable technology transfer, or an appropriate child-rearing tax, but not with a foreign manufacturing sector, which increases only temporarily the labour income in this rural economy.