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Publication year
An Account of Global Factor Trade
Resource type
Authors/contributors
- Davis, Donald R. (Author)
- Weinstein, David E. (Author)
Title
An Account of Global Factor Trade
Abstract
A half century of empirical work attempting to predict the factor content of trade in goods has failed to bring theory and data into congruence. Our study shows how the Heckscher-Ohlin-Vanek theory, when modified to permit technical differences, a breakdown in factor price equalization, the existence of nontraded goods, and costs of trade, is consistent with data from ten OECD countries and a rest-of-world aggregate.
Publication
American Economic Review
Volume
91
Issue
5
Pages
1423-1453
Date
2001-12
Citation
Davis, D. R., & Weinstein, D. E. (2001). An Account of Global Factor Trade. American Economic Review, 91, 1423–1453.
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