Multiple cones, factor price differences and the factor content of trade

• 成果类型: Article
• 署名作者: Bernhofen, Daniel M.
• 署名单位: University of Nottingham; University of Nottingham
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2009.08.001
• 发表日期: 2009
• 页码: 266-271
• 关键词: Heckscher-Ohlin; Multiple cones; Factor content restrictions

摘要

This paper examines the theoretical predictions of the multi-cone Heckscher-Ohlin model and the empirical evidence for it. I extend Helpman (1984)by identifying additional restrictions that characterize the free trade equilibrium. I illustrate that the complete set of restrictions are the building blocks of a multi-cone factor content specification which is the factor content dual to Alan Deardorff's (1979)well-known chain of comparative advantage goods prediction. The theoretical analysis implies that the existing tests of Helpman are incomplete. Applying the complete set of restrictions to Choi and Krishna's data set of 8 OECD countries, I find limited empirical support. This is compatible with previous studies suggesting that OECD countries do not occupy different cones. (C) 2009 Elsevier B.V. All rights reserved.