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Factor Endowments and Trade with Increasing Returns Versus Constant Returns to Scale
Department of Economics, University of Western Ontario.
Stockholm University, Faculty of Social Sciences, Institute for International Economic Studies.
1984 (English)Report (Other academic)
Abstract [en]

A general equilibrium model of trade with increasing returns to scale is developed for the purpose of analyzing how the results of factor-proportions trade theory are affected by the existence of scale economies. Comparative statistics effects with scale economies are derived as explicit funstions of standard constant returns mappings such as the Rybczynski matrix. Issues addressed include (A) the direction of trade, (B) international factor-price differences, (C) factor mobility and the volume of trade, and (D) the welfare effects of endowment changes.

Place, publisher, year, edition, pages
Stockholm: IIES , 1984. , 39 p.
Seminar Paper / Institute for International Economic Studies, Stockholm University, ISSN 0347-8769 ; 288
National Category
URN: urn:nbn:se:su:diva-41289OAI: diva2:329324
Available from: 2010-07-09 Created: 2010-07-09 Last updated: 2010-07-09Bibliographically approved

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Svensson, Lars E.O.
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