A New Construction of Ricardian Trade Theory—A Many-country, Many-commodity Case with Intermediate Goods and Choice of Production Techniques—

  title={A New Construction of Ricardian Trade Theory—A Many-country, Many-commodity Case with Intermediate Goods and Choice of Production Techniques—},
  author={Yoshinori Shiozawa},
  journal={Evolutionary and Institutional Economics Review},
  • Y. Shiozawa
  • Published 1 September 2007
  • Economics
  • Evolutionary and Institutional Economics Review
Ricardian trade theory is one of the most famous theories of economics but appears to have been little developed. Many attempts were made to extend the theory to multi-country, multi-commodity cases, but none succeeded to construct a general theory that included intermediate goods. A need to include intermediate goods within the theory was evident, but hurdles to introduce intermediate inputs were high. Intermediate goods change the entire structure of analysis; when they are traded, the price… 
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