New PDF release: Trade Theory, Analytical Models And Development: Essays in

By Sisira Jayasuriya, Mary Amiti, Ian Coxhead, Peter B. Dixon

ISBN-10: 1843763648

ISBN-13: 9781843763642

ISBN-10: 1845425642

ISBN-13: 9781845425647

The 2 volumes contain significant new papers contributed via major foreign economists, on quite a number themes that replicate the breadth of Professor Lloyd’s personal amazing contributions to the sphere of foreign alternate and coverage in the course of a occupation spanning over 4 a long time.

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Additional resources for Trade Theory, Analytical Models And Development: Essays in Honour of Peter Lloyd

Example text

Van Long, Ngo and Soubeyan, A. (2001), ‘Protection, lobbying and market structure’, Journal of International Economics, 54, 383–409. Jones, R. A. and Vanek, J. (eds), Trade, Balance of Payments and Growth, Amsterdam: North-Holland, Ch. 1. , Belach, H. and Marjit, Sugata (1999), ‘The three faces of factor intensities’, Journal of International Economics, 48, 413–20. R. and Obstfeld, M. (2003), International Economics: Theory and Policy, 6th edn, Addison Wesley, Boston. J. G. (1997), ‘Conflict generating product price changes: the imputed output approach’, European Economic Review, 41, 1569–87.

2 an increase in the labour endowment moves point A vertically upwards and point B to the right. If each country has taste pattern ␦1(3), differences in labour endowments may not alter their common autarky price ratios. For example, see the implications of free trade on factor prices in Figure 5 of Jones (1956). REFERENCES Jones, Ronald W. (1956), ‘Factor proportions and the Heckscher–Ohlin theorem’, Review of Economic Studies, 24, 1–10. Jones, Ronald W. N. W. A. Mundell and J. Vanek (eds), Trade, Balance of Payments and Growth, Amsterdam: North-Holland, Chapter 1.

By far the most general and comprehensive analysis of the relationship between factor endowment differences and comparative advantage can be found in Dixit and Woodland (1982). Dixit and Woodland make use of a global and a local approach. In their local analysis they focus on weak and strong output effects (from the Rybczynski matrix) which guarantee the corresponding (Heckscher–Ohlin–Samuelson) HOS effects on net exports. Dixit and Woodland obtain a number of very general and useful results but they do not address the key issue of the present chapter, that is, the effect of free trade on the distribution of income of the owners of the sector-specific factors in the light of the endowment differences of sector-specific and mobile factors between countries.

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Trade Theory, Analytical Models And Development: Essays in Honour of Peter Lloyd by Sisira Jayasuriya, Mary Amiti, Ian Coxhead, Peter B. Dixon


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