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A factor endowment theory of international trade under imperfect competition and increasing returns

Author

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  • Kenji Fujiwara
  • Koji Shimomura

Abstract

Constructing a two-good (competitive and imperfectly-competitive goods), two-primary factor (capital and labor) and two-country model of international trade where the imperfectly-competitive sector is subject to increasing returns to scale, we establish an oligopolistic version of the Heckscher-Ohlin theorem.

Suggested Citation

  • Kenji Fujiwara & Koji Shimomura, 2005. "A factor endowment theory of international trade under imperfect competition and increasing returns," Canadian Journal of Economics, Canadian Economics Association, vol. 38(1), pages 273-289, February.
    • Handle: RePEc:cje:issued:v:38:y:2005:i:1:p:273-289
    DOI: 10.1111/j.0008-4085.2005.00280.x
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    Cited by:

    1. Xiaobing Xing & Jiexiang Xu, 2014. "The saving rate and the upgrade of the trade commodity structure in developing countries: A dynamic H-O model under an oligopolistic market structure," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 23(8), pages 1145-1169, December.
    2. Koska, Onur A. & Stähler, Frank, 2014. "Trade and imperfect competition in general equilibrium," Journal of International Economics, Elsevier, vol. 94(1), pages 157-168.
    3. Valente, Simone, 2006. "Trade, Envy and Growth: International Status Seeking in a Two-Country World," MPRA Paper 1095, University Library of Munich, Germany.

    More about this item

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation

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