The impact of trade on the general well-being of an economy and especially on the distribution of income has been a topic of considerable debate among economists and policy makes alike. Following the influential neo - classical model of trade developed by Eli Heckscher and Bertil Ohlin together with its celebrated propositions one of which is the Stolper - Samuelson theorem or its generalization (Jones (1965), (1979)) it was once thought that trade increases the relative returns to the factor that relatively abundant in a country. Empirical evidences however points to the contrary. With...
The impact of trade on the general well-being of an economy and especially on the distribution of income has been a topic of considerable debate among...