In the economics literature, Heckscher-Ohlin, Melvin and Ricardo's theories based respectively on factor endowments, increasing returns to scale and comparative cost advantage are generally considered as separate theories that explain international trade. In this article, we argue that factor...

Following Smith's advocacy of free trade and competition, David Ricardo attempts to strengthen his theory of absolute advantage, which excludes from international trade countries which have no advantages over others, by eliminating this weakness. To do so, Ricardo introduces to the economics...