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An Account of Global Factor Trade Author info | Abstract | Publisher info | Download info | Related research | Statistics Donald R. Davis
David E. Weinstein
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A half-century of empirical work on the factor proportions theory has identified devise simple amendments that bring theory and data into reasonable congruence. Our study considers standard and novel hypotheses regarding the failures of the Heckscher-Ohlin-Vanek formulation and is the first to examine these directly on the technology and absorption data of interest. We show how a few simple and plausible amendments, verified directly by this data, suffice for a striking confirmation of the HOV theory. Countries export the services of abundant factors and in approximately the right magnitude. HOV works.
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Date of creation: Nov 1998Date of revision:
Publication status: published as Davis, Donald R. and David E. Weinstein. "An Account Of Global Factor Trade," American Economic Review, 2001, v91(5,Dec), 1423-1453.Handle: RePEc:nbr:nberwo:6785Note: ITIContact details of provider: Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A. Phone: 617-868-3900 Email: Web page: http://www.nber.org More information through EDIRC
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