TESTING HECKSCHER-OHLIN-VANEK IN THE G-7

Citation
Am. James et Bt. Elmslie, TESTING HECKSCHER-OHLIN-VANEK IN THE G-7, Weltwirtschaftliches Archiv, 132(1), 1996, pp. 139-159
Citations number
37
Categorie Soggetti
International Relations",Economics
Journal title
ISSN journal
00432636
Volume
132
Issue
1
Year of publication
1996
Pages
139 - 159
Database
ISI
SICI code
0043-2636(1996)132:1<139:THITG>2.0.ZU;2-E
Abstract
This paper extends previous tests of the Heckscher-Ohlin-Vanek (H-O-V) model by restricting testing to a group of countries expected to best conform to the assumptions of the model. Specifically, this study res tricts the sample to the G-7 countries which are similar in relative e ndowments and technology. In this sample, limited empirical support fo r H-O-V is found in the ''rank'' test of factors across countries and the regressions. The results suggest that serious consideration of the assumptions of the model may improve the concordance of the theory to the data.