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Unprotected resources and voracious world markets: A proof of losses in North-South Trade

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  • Margolis, Michael
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    Abstract

    This paper develops a generalization of Chichilnisky's [Chichilnisky, G., 1994. North-South Trade and the global environment. American Economic Review 84 (4), 851-874.] model of North-South Trade, making use of the dual theory of international trade. The central purpose is to provide rigorous proof of the previously unproven assertion that the South can lose from trade and from price changes that normally constitute terms-of-trade improvements.

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    File URL: http://www.sciencedirect.com/science/article/B6VFJ-4TPX0KF-1/2/cbe87e921d71d981c4a208eb4a1dde42
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    Bibliographic Info

    Article provided by Elsevier in its journal Resource and Energy Economics.

    Volume (Year): 31 (2009)
    Issue (Month): 1 (January)
    Pages: 50-57

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    Handle: RePEc:eee:resene:v:31:y:2009:i:1:p:50-57

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    Web page: http://www.elsevier.com/locate/inca/505569

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    Keywords: Trade and environment North-South trade Second-best;

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    1. Woodland, Alan D, 1980. "Direct and Indirect Trade Utility Functions," Review of Economic Studies, Wiley Blackwell, vol. 47(5), pages 907-26, October.
    2. H. Scott Gordon, 1954. "The Economic Theory of a Common-Property Resource: The Fishery," Journal of Political Economy, University of Chicago Press, vol. 62, pages 124.
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