What Goods Do Countries Trade? A Quantitative Exploration of Ricardo's Ideas¶
Costinot, A., Donaldson, D., & Komunjer, I. (2012). What Goods Do Countries Trade? A Quantitative Exploration of Ricardo's Ideas. The Review of Economic Studies.
Cited by¶
1 citation across 1 artifact.
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Domain-specific¶
- Absolute Advantage
- In modern trade theory absolute advantage is retained as the benchmark from which Ricardo's more general result is derived, and as an empirical measure of cross-country total-factor-productivity gaps
This sourceQuantitative Ricardian study finding that countries export relatively more in industries where they are relatively more productive, and supplying a theoretically consistent alternative to Balassa's revealed-comparative-advantage index.
Supported in partVerified against the publisher's abstract
“The Ricardian model predicts that countries should produce and export relatively more in industries in which they are relatively more productive.”
- In modern trade theory absolute advantage is retained as the benchmark from which Ricardo's more general result is derived, and as an empirical measure of cross-country total-factor-productivity gaps
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