Abstract
In 1971, Ronald Jones examined a three‐factor two‐good model under the assumption that two of the factors are specific to one sector (a different sector for each such factor). Working independently, in the same year Paul Samuelson developed a similar framework. In this paper that specification is weakened, so that only one sector (agriculture) has a specific factor (land). When land is a separable input into food production, factor price‐equalization can no longer be shown, but Stolper–Samuelson magnification is still observed, although it is weakened. An application to the abolition of the corn laws is discussed.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
