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Factor mobility and international trade

Abstract:

This paper develops a two-country model of trade and factor mobility, in which capital is sector-specific but internationally mobile. The model avoids the indeterminacy and propensity to specialize of Heckscher-Ohlin models and exhibits a rich variety of responses to exogenous shocks, including transfers, capital taxes, and tariffs. The results throw light on the relationship between goods and factor trade, reconciling the conflicting views of previous writers. It is argued that the model hol...

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Publication status:
Published
Peer review status:
Peer reviewed

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Institution:
University of Oxford
Division:
SSD
Department:
Economics
Oxford college:
Merton College
Role:
Author

Contributors

Publisher:
Blackwell Publishing Publisher's website
Journal:
Canadian Journal of Economics
Volume:
28
Issue:
Special Issue: Essays in International Economics in Honour of Douglas Purvis
Pages:
S4-S23
Publication date:
1995-11-01
ISSN:
0008-4085
Language:
English
Keywords:
Subjects:
UUID:
uuid:9e785b16-9b6a-4eb4-b84d-5046198e0ab8
Local pid:
ora:2145
Deposit date:
2008-07-04

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