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The neoclassical ambiguity in the specific factor model

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  • James Melvin
  • Robert Waschik

Abstract

An alternative diagrammatic mechanism is developed to illustrate the effect of output price changes on input prices, particularly the return to labour, in a two-good, three-factor specific factor model.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal The Journal of International Trade & Economic Development.

Volume (Year): 10 (2001)
Issue (Month): 3 ()
Pages: 321-337

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Handle: RePEc:taf:jitecd:v:10:y:2001:i:3:p:321-337

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Related research

Keywords: Neoclassical Ambiguity; Specific Factors;

References

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  1. Khandker, A Wahhab, 1981. "Multinational Firms and the Theory of International Trade and Investment: A Correction and a Stronger Conclusion," American Economic Review, American Economic Association, vol. 71(3), pages 515-16, June.
  2. Mussa, Michael, 1974. "Tariffs and the Distribution of Income: The Importance of Factor Specificity, Substitutability, and Intensity in the Short and Long Run," Journal of Political Economy, University of Chicago Press, vol. 82(6), pages 1191-1203, Nov.-Dec..
  3. Edward E. Leamer & James Levinsohn, 1994. "International Trade Theory: The Evidence," NBER Working Papers 4940, National Bureau of Economic Research, Inc.
  4. Grossman, Gene M & Levinsohn, James A, 1989. "Import Competition and the Stock Market Return to Capital," American Economic Review, American Economic Association, vol. 79(5), pages 1065-87, December.
  5. Mayer, Wolfgang, 1974. "Short-Run and Long-Run Equilibrium for a Small Open Economy," Journal of Political Economy, University of Chicago Press, vol. 82(5), pages 955-67, Sept./Oct.
  6. Ruffin, Roy & Jones, Ronald, 1977. "Protection and real wages: The neoclassical ambiguity," Journal of Economic Theory, Elsevier, vol. 14(2), pages 337-348, April.
  7. Jones, Ronald W & Dei, Fumio, 1983. "International Trade and Foreign Investment: A Simple Model," Economic Inquiry, Western Economic Association International, vol. 21(4), pages 449-64, October.
  8. Jones, Ronald W. & Neary, J. Peter & Ruane, Frances P., 1983. "Two-way capital flows : Cross-hauling in a model of foreign investment," Journal of International Economics, Elsevier, vol. 14(3-4), pages 357-366, May.
  9. Berglas, Eitan & Jones, Ronald W., 1977. "The export of technology," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 7(1), pages 159-202, January.
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Citations

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Cited by:
  1. Iain Fraser & Robert Waschik, 2010. "The Double Dividend Hypothesis in a CGE Model: Specific Factors and Variable Labour Supply," Working Papers 2010.02, School of Economics, La Trobe University.
  2. David Atkin, 2013. "Trade, Tastes, and Nutrition in India," American Economic Review, American Economic Association, vol. 103(5), pages 1629-63, August.

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