Comparative Advantage: Assessing Appropriate Measurement Techniques

Allan Webster

Bulletin of Economic Research, 1990, vol. 42, issue 4, 299-310

Abstract: This note considers the impact of recent generalizations of trade theory upon indices of 'revealed' comparative advantage. In particular, defining economic activities in terms of net output meets some of the theoretical objections to such measures. For two types of measures--trade/production and net export indices--such a basis for calculation has only slight consequences and, therefore, suggests such objections to not be significant in practice. For a third type of measure--export share based indices--these theoretical objections have more force in practice. Copyright 1990 by Blackwell Publishing Ltd and the Board of Trustees of the Bulletin of Economic Research

Date: 1990
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