Labour Inferiority, Economic Development and the Factor Proportions Problem

Richard Rosenberg

The Manchester School of Economic & Social Studies, 1991, vol. 59, issue 2, 146-59

Abstract: Factor inferiority has been well explored in the theoretical literature of economic development, although it has been considered to be of little empirical relevance. This paper explores, for the first time, two interrelated questions in the theory of economic development: Is the theory of factor inferiority particularly relevant to the circumstances of developing countries and can the concept of labor inferiority offer a plausible theoretical explanation for the factor proportions problem? This paper demonstrates that both these questions can be answered affirmatively. In so doing, it also demonstrates that the dualistic surplus labor development model has greater realism than has recently been believed. Copyright 1991 by Blackwell Publishers Ltd and The Victoria University of Manchester

Date: 1991
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Persistent link: https://EconPapers.repec.org/RePEc:bla:manch2:v:59:y:1991:i:2:p:146-59

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