International Trade Theory A critical review Murray C. Kemp Routledge Taylor & Francis Group LONDON AND NEW YORK
Contents Acknowledgements Introduction xi xiii PARTI The classical theory of international trade 1 1 The Torrens-Ricardo Principle of Comparative Advantage: an extension 3 Review of International Economics 14 (August 2006), 466-77 2 Gottfried Haberler's Principle of Comparative Advantage 16 Asia-Pacific Journal of Accounting and Economics 13 (June 2006), 1-10 3 Trade between countries with radically different preferences 25 Economics Bulletin 6 (no. 18, 2005), 1-9 4 Production and trade patterns under uncertainty 32 Economic Record 49 (June 1973), 217-27 WITH NISSAN LIVIATAN PART II The neo-classical theory of international trade 47 5 International trade without autarkic equilibria: macroeconomic implications 49 India Macroeconomics Annual, 2004 2005, 115 29
viii Contents 6 Impoverishing technical and preferential improvements 62 Pacific Economic Review 27 (June 2007), 205-12 WITH GEOFFREY FISHBURN 7 A dynamic Heckscher-Ohlin model: the case of costly factor reallocation 71 Japanese Economic Review 54 (September 2003), 237-52 8 A second correspondence principle 88 In A.D. Woodland, ed., Economic Theory and International Trade. Chapters in Honour of Murray C. Kemp, 37 56. Aldershot: Edward Elgar, 2002 WITH YOSHIO KIMURA AND KOJI SHIMOMURA 9 A theory of involuntary unrequited international transfers 105 Journal of Political Economy 111 (June 2003), 686-92 10 A theory of involuntary unrequited international transfers: a reply to Carlos da Costa 111 11 A theory of voluntary unrequited international transfers 115 Japanese Economic Review 53 (September 2002), 290-300 12 Aid tied to the donor's exports 128 Pacific Economic Review 10 (October 2005), 317-22 13 Variable returns to scale and factor price equalization 135 In K.J. Arrow, Y.-K. Ng and X. Yang, eds, Increasing Returns and Economic Analysis, 409 12. London: Macmillan, 1998. AND MAKOTO TAWADA 14 Market structure and factor price equalization 138 Japanese Economic Review 49 (September 1998), 335 9 15 Factor price equalization when the world equilibrium is not unique 145 Review of Development Economics 5 (June 2001), 205-10
Contents ix 16 Factor price equalization in a world of many trading countries 151 Review of Development Economics 14 (September 2006), 675-7 17 Heckscher-Ohlin theory: has it a future? 153 Singapore Economic Review 47 (October 2002), 195-8 PART III Normative trade theory 157 18 On a misconception concerning the classical gains-fromtrade proposition 159 In R. Pethig and M. Rauscher, eds, Challenges to the World Economy: Festschrift for Horst Siebert, 277 9. Berlin-Heidelberg: Springer-Verlag, 2003 19 Recent challenges to the classical gains-from-trade proposition 161 German Economic Review 3 (November 2002), 485 9 20 Trade gains: the end of the road? 165 Singapore Economic Review 50, Special Issue (2005), 361-8 21 Tariff reform: some pre-strategic considerations 172 WITH HENRY Y. WAN, JR 22 On the existence of equivalent tariff vectors: when the status quo matters 181 Singapore Economic Review 50, Special Issue (2005), 345-59 WITH HENRY Y. WAN, JR PART IV Methodology, 195 23 The representative agent in economic theory 197
x Contents 24 Price taking in general equilibrium 199 American Journal of Applied Sciences, Special Issue (December 2005), 78-80 25 Generality versus tractability 202 Notes 204 References 212 Index 218