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The Sonnenschein–Debreu–Mantel Proposition and the Theory of International Trade

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  • Murray C. Kemp
  • Koji Shimomura

Abstract

Much of the comparative statics of trade theory rests on the unrealistic assumption that in each trading country all households are alike or behave collectively as though they are alike. In the present paper the authors show that two well–known comparative statical propositions are highly sensitive to the relaxation of the assumption, and suggest that many other results are equally fragile.

Suggested Citation

  • Murray C. Kemp & Koji Shimomura, 2002. "The Sonnenschein–Debreu–Mantel Proposition and the Theory of International Trade," Review of International Economics, Wiley Blackwell, vol. 10(4), pages 671-679, November.
    • Handle: RePEc:bla:reviec:v:10:y:2002:i:4:p:671-679
    DOI: 10.1111/1467-9396.00357
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