Note on a Continuum Multi-Country and International Trade ()
Abstract
We provide an analytical solution for the continuum multi-country two-sector Ricardian model of Yanagawa (1996) [1], and obtain additional results that are not observed in the standard two-country two-good Ricardian model. Increases in productivity in each sector results in an increase in the number of countries producing high technology goods and a de- crease in the number of countries producing low technology goods.
Share and Cite:
K. Kamei, "Note on a Continuum Multi-Country and International Trade,"
Theoretical Economics Letters, Vol. 2 No. 2, 2012, pp. 221-225. doi:
10.4236/tel.2012.22040.
Conflicts of Interest
The authors declare no conflicts of interest.
References
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[1]
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N. Yanagawa, “Economic Development in a World with Many Countries,” Journal of Development Economics, Vol. 49, No. 2, 1996, pp. 271-288.
doi:10.1016/0304-3878(95)00062-3
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R. Dornbusch, S. Fischer and P. Samuelson, “Comparative Advantage, Trade, and Payments in a Ricardian Model with a Continuum of Goods,” American Economic Review, Vol. 67, No. 5, 1977, pp. 823-839.
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