The Greater the Differences, the Greater the Gains?

Wilfred J. Ethier

Chapter 20 in The Floating World:Issues in International Trade Theory, 2014, pp 413-421 from World Scientific Publishing Co. Pte. Ltd.

Abstract: This paper addresses the fundamental question of whether, in a comparative-advantage context, the gains from trade will be greater when the differences between trading countries are greater. Such a presumption is established. The paper then discusses circumstances that could cause the presumption to fail.

Keywords: International Trade; Scale Economies; Factor Endowments; Political Economy of Trade Policy; Economic Integration (search for similar items in EconPapers)
Date: 2014
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