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Goods, Services and Trade

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  • Djajic, Slobodan
  • Kierzkowski, Henryk
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    Abstract

    Within the framework of the Heckscher-Ohlin model, this paper addresses some of the positive issues related to trade in durable goods, nondurables, and services. The pattern of trade between countries is analyzed under two of a number of possible regimes governing trade in services. In one case, only durables and nondurables can be traded internationally; in the other, the firms exporting durables also service the units sold abroad. The volume and direction of trade in goods is shown to be determined not only by factor endowments of countries, but also by whether or not services are tradable. Copyright 1989 by The London School of Economics and Political Science.

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    Bibliographic Info

    Article provided by London School of Economics and Political Science in its journal Economica.

    Volume (Year): 56 (1989)
    Issue (Month): 221 (February)
    Pages: 83-95

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    Handle: RePEc:bla:econom:v:56:y:1989:i:221:p:83-95

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    Cited by:
    1. Jota Ishikawa & Hodaka Morita & Hiroshi Mukunoki, 2010. "FDI in Post-Production Services and Product Market Competition," Global COE Hi-Stat Discussion Paper Series gd10-136, Institute of Economic Research, Hitotsubashi University.
    2. Bianka Dettmer, 2012. "Business services outsourcing and economic growth: Evidence from a dynamic panel data approach," Jena Economic Research Papers 2012-049, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
    3. van Marrewijk, Charles & Stibora, Joachim & de Vaal, Albert & Viaene, Jean-Marie, 1997. "Producer services, comparative advantage, and international trade patterns," Journal of International Economics, Elsevier, vol. 42(1-2), pages 195-220, February.

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