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Increasing Returns and International Trade

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Author Info
Kemp, Murray C
Shimomura, Koji

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Abstract

The paper develops a model of international trade with increasing returns to scale by taking into account the possibility of cooperation among agents in an egalitarian economy. It is shown that each country gains from trade in a trading world in which there are arbitrary numbers of increasing-returns-to-scale goods, constant-returns-to-scale goods, factors of production, and countries. Copyright 2000 by Blackwell Publishing Ltd.

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Publisher Info
Article provided by Blackwell Publishing in its journal Review of International Economics.

Volume (Year): 8 (2000)
Issue (Month): 4 (November)
Pages: 614-18
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Handle: RePEc:bla:reviec:v:8:y:2000:i:4:p:614-18

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  1. Wilfred J. Ethier & Roy J. Ruffin, 2008. "External Economies of Scale and Comparative Advantage," PIER Working Paper Archive 08-008, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania. [Downloadable!]
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This page was last updated on 2009-12-19.

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