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The Validity of the Long‐run Heckscher–Ohlin Theorem in the Ricardian System

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  • Takashi Uchiyama

Abstract

Applying Burgstaller's Ricardian two‐sector growth model to the two‐country open economy, this paper shows that the long‐run Heckscher–Ohlin theorem holds also in a Ricardian world. In addition it is shown that, if two Ricardian countries that are different only in their demand parameters open trade, comparative advantage and the corresponding trade pattern at trade opening continue in the long run after the opening of trade.

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  • Takashi Uchiyama, 2005. "The Validity of the Long‐run Heckscher–Ohlin Theorem in the Ricardian System," Economica, London School of Economics and Political Science, vol. 72(288), pages 705-718, November.
    • Handle: RePEc:bla:econom:v:72:y:2005:i:288:p:705-718
    DOI: 10.1111/j.1468-0335.2005.00439.x
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    Cited by:

    1. Freni, Giuseppe & Salvadori, Neri & Signorino, Rodolfo, 2019. "Structural change in a Ricardian world economy: The role of extensive rent," Structural Change and Economic Dynamics, Elsevier, vol. 49(C), pages 277-282.

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