"This article deals with the impact of remittances from emigrants on real incomes for different groups in their country of origin in a two-by-two model with one traded and one nontraded good. It is shown that emigration does not necessarily raise the real income of the emigrants themselves. If the traded good is capital intensive, nonmigrant workers gain and capitalists lose, whereas if it is labor intensive, the outcome depends on what happens to the price of the nontraded good. The result of a rise is that capitalists gain and workers lose, while a fall has the opposite effect."

The paper provides an evaluation of the development of the South African economy since the end of apartheid in 1994. Taking the 1993 situation as the point of departure, it gives an account of the path leading to the formulation of the major policy documents, and examines to what extent their objectives have been met. It highlights poverty reduction and redistribution, stabilization (fiscal and monetary policy, liberalization of the capital account of the balance of payments, exchange rate policy), trade and competition policy, investment strategies and labor market policy.

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Timor-Leste's first ten years of independence have been turbulent and a large share of the population remains poor. Broad-based improvements in living standards will require improvements in agricultural production since most Timorese are subsistence farmers and since there is no modern sector to absorb a fast-growing population. This paper discusses what determines agricultural development in Timor-Leste and how such development can be achieved. This is done in two steps. The first one takes the production function as its point of departure. Agricultural output is seen as a function of inputs (land, capital and labor) and technology, which in turn are influenced by the infrastructure and institutions of the economy and by external factors which cannot be influenced by policy measures. The second part, in turn, emphasizes the fact that Timor-Leste is a market economy. A model of an agricultural household is constructed. The static optimum of the household is derived and the effects on production, consumption, sales, income and leisure of the household of different price incentives (changes in food prices, cash crop prices and prices of manufactured goods) are investigated. Terms of use: Documents in

All of his professional life, Eli Heckscher was concerned with the methodology of economics and economic history. Straddling both disciplines, it was essential for him to come to grips with the problem of what one discipline could learn from the other and vice versa (Findlay 1998; Findlay and Lundahl 2002; Henriksson and Lundahl 2003). Gradually he also introduced the use of statistical time series in his works, notably his four-volume magnum opus about the economic history of Sweden from the time of Gustav Vasa (1523-1560) to ''the present,'' which in practice meant the early nineteenth century. As he moved from the sixteenth to the eighteenth century the availability of quantitative material increased, and Heckscher made use of it. However, he steadfastly refused to be bound by the strict limits imposed by the ''hard'' facts when it came to the interpretation of a certain epoch. He certainly took great care to weed out hypotheses not grounded in facts, but he was no stranger to hypothetical reasoning either. Such reasoning was needed for arriving at a historical synthesis, and the refusal to go beyond just what the sources would reveal, after thorough critical scrutiny, was for him to stop short of attempting a synthesis. The present essay should be seen as the effort of two economists to provide a building block for a historical synthesis. We would like to combine Heckscher's plea for economic theory in economic history with his insistence on historical synthesis into a plea for economic theory in historical synthesis. The roots of the essay are found in economic theory, which we employ very much in the fashion that Heckscher used it in his historical works: as a device for explaining the equilibrating processes in economic history during a determined period. We also share with Heckscher the conviction that it is difficult to use economic theory to explain transitions from one historical epoch or era to another. Here factors exogenous from the point of view of