The Impact of Talent Distribution on Trade
In an equilibrium trade model, we prove that not only the diversity effect but also the kurtosis effect will affect the pattern of comparative advantage. Furthermore, we find that, against the conventional results, if the kurtosis effect dominates the diversity effect then a country with more (less) diversified talent may export the goods produced by supermodular (submodular) technology.
Volume (Year): 32 (2012)
Issue (Month): 3 ()
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- Franziska Ohnsorge & Daniel Trefler, 2004. "Sorting It Out: International Trade and Protection With Heterogeneous Workers," NBER Working Papers 10959, National Bureau of Economic Research, Inc.
- Bougheas, Spiros & Riezman, Raymond, 2007.
"Trade and the distribution of human capital,"
Journal of International Economics,
Elsevier, vol. 73(2), pages 421-433, November.
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