Skip to main content
Fachgebiete
Automobil + Motoren Bauwesen + Immobilien Business IT + Informatik Elektrotechnik + Elektronik Energie + Nachhaltigkeit Finance + Banking Management + Führung Marketing + Vertrieb Maschinenbau + Werkstoffe Versicherung + Risiko
DE
EN
Bücher
Zeitschriften
Themenseiten
Organisationspsychologie Projektmanagement Marketing Smart Manufacturing
Weitere Formate
Podcasts Webinare Technik Webinare Wirtschaft Kongresse Veranstaltungskalender Awards
Jetzt Einzelzugang starten
Zugang für Unternehmen
Referenzkunden
SLX-Digitalkonferenz: Zukunftswerkstatt 2024

Mehr Umsatz mit Top-Kontakten

Am 7. Mai erfahren Sie, wie Vertriebsteams Leadgenerierung, Leadnurturing und Leadstrategien effizient steuern können.
Erweiterte Suche
Anmelden
nach oben
Erschienen in:
Introduction: Celebrating 200 Years of Ricardian Trade Theory Kapitel lesen Erstes Kapitel lesen

2017 | OriginalPaper | Buchkapitel

4. The Standard Ricardian Trade Model

verfasst von : Rolf Weder

Erschienen in: 200 Years of Ricardian Trade Theory

Verlag: Springer International Publishing

Einloggen

Aktivieren Sie unsere intelligente Suche, um passende Fachinhalte oder Patente zu finden.

search-config
loading …

Abstract

This chapter presents the standard Ricardian trade theory. It introduces the reader to the 2 × 2 model (two countries, two goods, one factor of production) and shows the effects of trade liberalization on the pattern of trade, production and wages. The extension from two to many goods (2 × N model) allows for an introduction of transportation costs as a basis to study the co-existence of internationally traded and nontraded goods as well as so-called Dutch-Disease effects. With, finally, the extension from many to very many goods (i.e., to a continuum of goods), the reader is introduced to the Dornbusch-Fischer-Samuelson (1977) model that is widely used in international trade theory.

Sie haben noch keine Lizenz? Dann Informieren Sie sich jetzt über unsere Produkte:

Springer Professional "Wirtschaft+Technik"

Online-Abonnement

Mit Springer Professional "Wirtschaft+Technik" erhalten Sie Zugriff auf:

  • über 102.000 Bücher
  • über 537 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Maschinenbau + Werkstoffe
  • Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

Jetzt informieren

Springer Professional "Wirtschaft"

Online-Abonnement

Mit Springer Professional "Wirtschaft" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 340 Zeitschriften

aus folgenden Fachgebieten:

  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Versicherung + Risiko




Jetzt Wissensvorsprung sichern!

Jetzt informieren

Springer Professional "Technik"

Online-Abonnement

Mit Springer Professional "Technik" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 390 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Maschinenbau + Werkstoffe




 

Jetzt Wissensvorsprung sichern!

Jetzt informieren
Vorheriges Kapitel David Ricardo’s “On Foreign Trade”: The Original Idea
Nächstes Kapitel The Ricardian Trade Model: Implications and Applications
Anhänge
Nur mit Berechtigung zugänglich
Fußnoten
1
All variables for the foreign country are denoted by an asterisk (*) throughout the chapter.
 
2
The slope can also be found by solving Eq. (4.1) for y 2 and differentiating y 2 with respect to y 1. Or, as a special case, we simply divide L/a L2 (dy 2) by L/a L1 (dy 1).
 
3
Thus, the optimal production point on the PPF in autarky could be determined by introducing preferences of the consumers in a country. The representative consumer would choose a consumption bundle where an indifference curve is tangent to the PPF: The opportunity costs of producing the two goods equal the willingness of consumers to marginally substitute the two goods (i.e., the marginal rate of substitution). See, e.g., Caves, Frankel, and Jones (2007, Chaps. 2 and 4).
 
4
Suppose the demand side of the economy is specified and thus determined in form of indifference curves. We would easily find out that a higher indifference curve can be reached in each country with international trade if relative prices differ from the countries’ opportunity costs.
 
5
See also Chap. 6 in this book.
 
6
Similar figures are used by Caves, Frankel, and Jones (2007, p. 64), Krugman, Obstfeld and Melitz (2015, p. 63) or Feenstra (2016, p. 3).
 
7
The figure is adapted from Caves, Frankel, and Jones (2007, p. 67).
 
8
An alternative condition would be to require balanced trade.
 
9
If transportation costs are, however, good-specific and possibly large, the ranking of the goods in (4.16) may not be relevant anymore regarding the distinction between traded and nontraded goods. In this case we would have to re-order the goods in the chain of decreasing relative costs, taking into account the different transportation costs. Also note that Sanyal and Jones (1982), in their paper “Trade in Middle Products” present a model, in which all goods which are “consumed” are nontraded. These goods differ, however, regarding the share of the domestic added value.
 
10
An analogous effect would arise if, alternatively, the price of good 2 increased accordingly. The notion of the “Dutch Disease” goes back to the rapid development of the natural gas sector in the Netherlands which squeezed other traditional export sectors of the Dutch economy. Other examples are the (sometimes) booming oil industries in Norway, Great Britain or in the Canadian Province of Alberta which typically results in a burden on other export industries. The “Dutch Disease effect” has thus become a generic effect in (Ricardian) trade theory that emphasizes the fact that industries in a country do compete for domestic factors of production such as labor.
 
11
This is the so-called Balassa-Samuelson effect and may partly explain why in some countries as Switzerland or the Scandinavian countries prices are considered to be pretty high.
 
Literatur
Caves, R. E., Frankel, J. A., & Jones, R. W. (2007). World trade and payments. An introduction (10th ed.). Boston: Pearson.
Dornbusch, R., Fischer, S., & Samuelson, P. A. (1977). Comparative advantage, trade, and payments in a Ricardian model with a continuum of goods. The American Economic Review, 67(5), 823–839.
Feenstra, R. C. (2016). Advanced international trade (2nd ed.). Princeton, NJ: Princeton University Press.
Krugman, P., Obstfeld, M., & Melitz, M. J. (2015). International economics. Theory and policy (10th ed.). Boston: Pearson.
Samuelson, P. A. (1954). The transfer problem and the transport costs, II: Analysis of effects of trade impediments. The Economic Journal, 64(254), 264–289.CrossRef
Sanyal, K. K., & Jones, R. W. (1982). The theory of trade in middle products. American Economic Review, 72(1), 16–31.
Metadaten
Titel
The Standard Ricardian Trade Model
verfasst von
Rolf Weder
Copyright-Jahr
2017
Buch
200 Years of Ricardian Trade Theory

Print ISBN: 978-3-319-60605-7

Electronic ISBN: 978-3-319-60606-4

Copyright-Jahr: 2017

DOI
https://doi.org/10.1007/978-3-319-60606-4_4