Explaining Trade Flows: Traditional and New Determinants of Trade Patterns
AbstractAn empirical tradition in international trade seeks to establish whether the predictions of factor abundance theory match with the data. In this paper, we test if the “new” determinants used in the factor content version of H-O-V models (differences in productivity, in returns to scale or in consumers’ preferences) help us to improve our estimation of trade patterns in commodities. The results show that conventional factors are still important in determining trade structure although new determinants need to be included to determine comparative advantage. Turning to the change across periods, differences in factor endowments have not diminished over time: we observe an increase in specialization according to skill endowment. Hence, those “new” determinants are not new forces that drive trade flows.
Download InfoTo our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Bibliographic InfoArticle provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.
Volume (Year): 24 (2009)
Issue (Month): ()
international trade; Hecksher-Ohlin model;
Other versions of this item:
- Gourdon, Julien, 2006. "Explaining Trade Flows: Traditional and New Determinants of Trade Patterns," MPRA Paper 4175, University Library of Munich, Germany.
- Julien GOURDON, 2007. "Explaining Trade Flows: Traditional and New Determinants of Trade Patterns," Working Papers 200706, CERDI.
- F11 - International Economics - - Trade - - - Neoclassical Models of Trade
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- F20 - International Economics - - International Factor Movements and International Business - - - General
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Jan Hanousek & Evžen Kočenda, 2013. "Factors of trade in Europe," Working Papers 333, Institut für Ost- und Südosteuropaforschung (Institute for East and South-East European Studies).
- Julie Regolo, 2013. "Export Diversification: How Much Does the Choice of the Trading Partner Matter?," Research Papers by the Department of Economics, University of Geneva 13072, Département des Sciences Économiques, Université de Genève.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jong-Eun Lee).
If references are entirely missing, you can add them using this form.