arXiv subjects

Thanh Tam Nguyen-Huu

Publications and source records attributed to Thanh Tam Nguyen-Huu.

2 recordsLinked to original sources

arXiv2026

Globalization, economic growth, and innovation: A two-country two-period model

This paper examines how a developing country can benefit from trade liberalization. We develop a two-period model, comprising an autarky phase and a globalization phase, and a two-country framework, featuring a developing country and a developed country (representing the rest of the world). Our findings indicate that globalization may disadvantage a developing country when its total factor productivity (TFP) is significantly lower than that of the developed country. However, we demonstrate that the developing country can still achieve gains from trade openness by allocating part of its capital to innovation during the autarky period, thereby enhancing its TFP.

econ.TH↗

arXiv2026

FDI versus R\&D in an endogenous growth model

We investigate the role of foreign direct investment (FDI) and research and development (R\&D) in the transitional dynamics of host countries using an optimal growth model. FDI may benefit the host country's GNP by enabling multinational enterprises to hire local workers. However, if the host country focuses solely on FDI, it may fall into a middle-income trap. Most importantly, we show that if the host country invests in R\&D, its economy can reach sustained growth. In this case, FDI benefits the host country, but only in the early stages of its development process.

q-fin.GN↗