Economics at your fingertips  

Reconciling Ricardo's Comparative Advantage with Smith's Productivity Theory

Jorge Morales Meoqui ()

Economic Thought, 2014, vol. 3, issue 2, 21

Abstract: There are three main claims in the paper: first, there is sufficient evidence for affirming that Ricardo adhered to Smith's productivity theory; second, Ricardo's original demonstration of the comparative- advantage proposition is indeed compatible and complementary with respect to the latter; and third, Ricardo agreed with Smith's multifactorial explanation of the pattern of trade, which includes increasing returns and economies of scale. These results suggest that the level of compatibility between the international trade theories of Smith and Ricardo is significantly higher than it is currently reflected in the economic literature. They also add a new perspective to the ongoing process of reassessment of Smith's contributions to international trade theory, further strengthening the view that he was indeed an outstanding international trade theorist.

Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link) ... productivity-theory/ (text/html) (application/pdf)

Related works:
Working Paper: Smith's and Ricardo's common logic of trade (2010) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this article

Economic Thought is currently edited by Kyla Rushman

More articles in Economic Thought from World Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by Jake McMurchie ().

Page updated 2020-09-27
Handle: RePEc:wea:econth:v:3:y:2014:i:2:p:21