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Abstract

The task of extending the Stolper-Samuelson (hereafter, S-S) message of ‘product price changes necessarily create conflict between households owning different factors’ to frameworks incorporating increasing Retums or economies of scale has previously been tackled in a series of specialized models which are not capable of being generalized and where the robustness of the results have been disappointing.

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References

  • Cassing, J. (1981), ‘On the Relationship between Commodity Price Changes and Factor Owners’ Real Positions’, Journal of Political Economy, 89, 593–95.

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  • Lloyd, P.J. and Schweinberger, A.G. (1988), ‘Trade Expenditure Functions and the Gains from Trade’, Journal of International Economics, 24, 275–97.

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© 1998 Palgrave Macmillan, a division of Macmillan Publishers Limited

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Sgro, P.M. (1998). Comment. In: Arrow, K.J., Ng, YK., Yang, X. (eds) Increasing Returns and Economic Analysis. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-26255-7_27

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