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- W3125628806 abstract "Standard trade theory views the capital stock as an endowment. However, trade policy can affect a country's steady-state capital stock. By ignoring the endogeneity of capital, standard analysis is incomplete and can be misleading. For instance, when capital in endogenous, the Stolper-Samuelson theorem incorrectly predicts the long-run impact of a tariff n factor rewards in a 2-by-2 trade model. Moreover, the output effects of a trade policy can be greatly amplified by its indirect effect on the steady-state capital stock. Since this indirect effect may take a very long time to be fully realized, trade policy can have a long-lasting effect on growth. Ricardo first studied this link between trade and steady-state factor supplies." @default.
- W3125628806 created "2021-02-01" @default.
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- W3125628806 date "1989-09-01" @default.
- W3125628806 modified "2023-09-27" @default.
- W3125628806 title "The Stolper-Samuelson Theorem Reconsidered: An Example of Ricardian Dynamic Trade Effects" @default.
- W3125628806 hasPublicationYear "1989" @default.
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