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Multicountry, Multifactor Tests of the Factor Abundance Theory

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Author Info
Bowen, Harry P
Leamer, Edward E
Sveikauskas, Leo

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Abstract

The Heckscher-Ohlin-Vanek model predicts relationships among industry input requirements, country resource supplies, and international trade in commodities. These relationships are tested using data on twelve resources, and the trade of twenty-seven countries in 1967. The Heckscher-Ohlin propositions that trade reveals gross and relative factor abundance are not supported by these data. The Heckscher-Ohlin-Vanek equations among input requirements, resource supplies, and trade are also rejected in favor of weaker models that allow technological differences and measurement errors. Copyright 1987 by American Economic Association.

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Publisher Info
Article provided by American Economic Association in its journal American Economic Review.

Volume (Year): 77 (1987)
Issue (Month): 5 (December)
Pages: 791-809
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Handle: RePEc:aea:aecrev:v:77:y:1987:i:5:p:791-809

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Sveikauskas, Leo A, 1983. "Science and Technology in United States Foreign Trade," Economic Journal, Royal Economic Society, vol. 93(371), pages 542-54, September. [Downloadable!] (restricted)
  2. Harkness, Jon P, 1978. "Factor Abundance and Comparative Advantage," American Economic Review, American Economic Association, vol. 68(5), pages 784-800, December. [Downloadable!] (restricted)
  3. Brecher, Richard A & Choudhri, Ehsan U, 1982. "The Leontief Paradox, Continued," Journal of Political Economy, University of Chicago Press, vol. 90(4), pages 820-23, August. [Downloadable!] (restricted)
  4. Branson, William H. & Monoyios, Nikolaos, 1977. "Factor inputs in U.S. trade," Journal of International Economics, Elsevier, vol. 7(2), pages 111-131, May. [Downloadable!] (restricted)
  5. Baldwin, Robert E, 1971. "Determinants of the Commodity Structure of U.S. Trade," American Economic Review, American Economic Association, vol. 61(1), pages 126-46, March. [Downloadable!] (restricted)
  6. Bowen, Harry P, 1983. "Changes in the International Distribution of Resources and Their Impact on U.S. Comparative Advantage," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 402-14, August. [Downloadable!] (restricted)
  7. Horiba, Yutaka, 1979. "Testing the Demand Side of Comparative Advantage Models," American Economic Review, American Economic Association, vol. 69(4), pages 650-61, September. [Downloadable!] (restricted)
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