Abstract
No single production structure has become dominant in models of the pure theory of international trade, even those characterized by perfect competition. Most models are represented by Ricardian, Heckscher-Ohlin, or Specific-Factors structures, or variants and combinations of these, with the selection often dictated by the problem being investigated. However, it is well known that if a country is freed from the bonds of autarky and allowed to engage in trade in goods or factors, a certain degree of specialization is encouraged so that the production structure with trade can differ significantly from that postulated in autarky. In that sense production structures are endogenously affected by trade.
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© 1992 Springer-Verlag Berlin · Heidelberg
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Jones, R.W., Marjit, S. (1992). International Trade and Endogenous Production Structures. In: Neuefeind, W., Riezman, R.G. (eds) Economic Theory and International Trade. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-77671-7_9
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DOI: https://doi.org/10.1007/978-3-642-77671-7_9
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