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Hymer-Resnick and East Asian Industries in Open Rural Economies: Delineation by Seasonal Responses

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  • Raul V. Fabella

Abstract

We model the differential responses of rural industries in a Dutch Disease framework. The farm sector, F, is subject to seasonal undulation, is exportable; the Z-goods sector is importable and G is either nontrade or exportable. Labor is quasi-surplus. We show that exogenous or season-induced expansion in F expands G if nontraded (East Asian response) and shrinks Z unambiguously (Hymer-Resnick response). When G is exportable, expansion in F leaves G output unchanged (season neutral), shrinks Z, while the export of G falls (Dutch Disease).

Suggested Citation

  • Raul V. Fabella, 1990. "Hymer-Resnick and East Asian Industries in Open Rural Economies: Delineation by Seasonal Responses," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 27(1), pages 19-35, June.
    • Handle: RePEc:phs:prejrn:v:27:y:1990:i:1:p:19-35
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    File URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/262/739
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    Cited by:

    1. Sanchez-Robielos, Maria Teresa, 1991. "A Study on Rural labor Markets, Rural Nonfarm Enterprises and Agrarian Reform in the Philippines," Working Papers WP 1991-17, Philippine Institute for Development Studies.
    2. Balisacan, Arsenio M., 1991. "Linkages, Poverty and Income Distribution," Working Papers WP 1991-15, Philippine Institute for Development Studies.

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