IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/8514.html
   My bibliography  Save this paper

Property rights and the dynamics of North-South trade, chapter 8

Author

Listed:
  • Chichilnisky, Graciela

Abstract

This chapter focuses on how the lack of property rights in North-South trade of primary resources can distort trade and threaten the sustainablility of development. This issue is examined within a two-region world economy where one region, the North, represents the industrial countries, and the other, the South, the developing countries. The lack of property rights characterizes a class of environmental problems arising from the use of renewable resources as inputs in the production of traded goods. Focus is placed on renewable resources because it can be argued that sustainable development is all about the proper management of the world's natural resources. There are two significant departures from traditional theory. The first is that one input in production is an environmental resource. The second major departure from traditional theory is that the regions are characterized by their property rights regimes based on the source from which resources are extracted. It is shown that differences in property rights are sufficient to explain differing trade patterns between two otherwise identical regions, even if these regions have the same endowments, preferences, and technologies. The succeeding sections of this chapter provide the following. Lemma 1 studies population dynamics, and the connection between property rights and the long-run supply curve of the renewable resource. The next step is to analyze market behavior. The general equilibrium model of North-South trade is defined, and solved in one explicit resolving equation provided in the Appendix.

Suggested Citation

  • Chichilnisky, Graciela, 1996. "Property rights and the dynamics of North-South trade, chapter 8," MPRA Paper 8514, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:8514
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/8514/1/MPRA_paper_8514.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Chichilnisky, Graciela, 1994. "North-South Trade and the Global Environment," American Economic Review, American Economic Association, vol. 84(4), pages 851-874, September.
    2. Barbier, E B & Burgess, J C, 2001. " The Economics of Tropical Deforestation," Journal of Economic Surveys, Wiley Blackwell, vol. 15(3), pages 413-433, July.
    3. Chichilnisky, Graciela, 1981. "Terms of trade and domestic distribution : Export-led growth with abundant labour," Journal of Development Economics, Elsevier, vol. 8(2), pages 163-192, April.
    4. Chichilnisky, Graciela, 1986. "A general equilibrium theory of North-South trade," MPRA Paper 8810, University Library of Munich, Germany.
    5. Graciela Chichilnisky, 1990. "On The Mathematical Foundations Of Political Economy," Contributions to Political Economy, Oxford University Press, vol. 9(1), pages 25-41.
    6. Chichilnisky, Graciela, 1994. "Traditional comparative advantage vs. increasing returns to scale: NAFTA and the GATT," MPRA Paper 8360, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Peter Walkenhorst, 2004. "Domestic And International Environmental Impacts Of Agricultural Trade Liberalisation," International Trade 0401010, EconWPA.

    More about this item

    Keywords

    sustainable development; property rights; renewable resources; general equilibrium;

    JEL classification:

    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q27 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Issues in International Trade

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:8514. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.