The Unbalanced Physical Movements of International Trade

Haiyang Liu

MPRA Paper from University Library of Munich, Germany

Abstract: The goods produced in developed nations are often of higher quality, advanced technology and better design, hence goods even with little physical mass have higher value than goods produced in developing nations. This means that if the payment is balanced between developed and developing nations, the physical mass must be unbalanced. As a result, developed nations will become increasingly heavier, and the northern hemisphere where developed nations are clustered will also become more and more heavy. The earth will be reshaped like a ice-cream. Using customs data we confirm this conjecture.

Keywords: Balance of Payment; Imbalance of Physical Movement; International Trade (search for similar items in EconPapers)
JEL-codes: F14 F18 F20 (search for similar items in EconPapers)
Date: 2014-01-02
New Economics Papers: this item is included in nep-int
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