Ohlin Versus Stolper-Samuelson?

Douglas Irwin

No 7641, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper examines Bertil Ohlin's analysis of trade policy and factor rewards in the context of the late nineteenth and early twentieth century United States. A leading question of the day was whether labor could benefit from protection. Ohlin suspected that labor could benefit from protection and his writings helped spawn the Stolper-Samuelson theorem, which was different from but consistent with Ohlin's approach. This paper seeks to find evidence on whether U.S. tariffs on imported labor-intensive manufactures helped enhance the income of labor at the expense of capital and land. The answer is unclear: vastly different conclusions arise from a calibrated general equilibrium Ohlin-style model and a factor content of trade calculation indirect evidence from lobbying and voting patterns over the tariff are also ambiguous.

JEL-codes: F13 F16 (search for similar items in EconPapers)
Date: 2000-04
New Economics Papers: this item is included in nep-his
Note: DAE ITI
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Citations: View citations in EconPapers (2)

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