Cheng, Wen Li; Sachs, Jeffrey D.; Yang, Xiaokai - Center for International Development, Kennedy School of … - 1999
In the paper we introduce technological comparative advantage and transaction costs into the Heckscher-Olin (HO) model and refine the HO theorem, the Stolper-Samuelson theorem, the Rybczynski theorem, and factor equalization theorem. The refined core theorems can be used to accommodate recent...