IDEAS home Printed from https://ideas.repec.org/a/cii/cepiie/2019-q1-157-10.html
   My bibliography  Save this article

The chain version of Heckscher-Ohlin theory correctly predicts U.S. trade flows!

Author

Listed:
  • Nevin Cavusoglu

Abstract

The chain version of the Heckscher-Ohlin theorem has only been tested by Cavusoglu and Elmslie (2005), with findings that fail to provide empirical support to its predictions. The present paper expands on that study and presents different results. Using data on capital-labor intensities, and exports and imports for ten manufacturing and three service sectors for the U.S. from 1970 to 2009, the predictions of the theory are confirmed by the data. These results are robust to different price indices, labor measures, and weight measures used to construct net export data. The difference in results between the two studies can be explained by the use of different capital stock data, as well as the longer time frame of the current study.

Suggested Citation

  • Nevin Cavusoglu, 2019. "The chain version of Heckscher-Ohlin theory correctly predicts U.S. trade flows!," International Economics, CEPII research center, issue 157, pages 170-178.
    • Handle: RePEc:cii:cepiie:2019-q1-157-10
    as

    Download full text from publisher

    File URL: https://www.sciencedirect.com/science/article/pii/S2110701718300684
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hrvoje Jošic, Berislav Žmuk, 2023. "There is still life in factor proportions model: an evidence from the selected OECD countries," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 20(2), pages 193-221, December.
    2. Sohail, Muhammad Tayyab & Din, Norashidah Md, 2024. "How do digital inclusion and energy security risks affect mineral resources trade? Evidence from world-leading mineral trading countries," Resources Policy, Elsevier, vol. 89(C).
    3. Hamid Sepehrdoust & Mohsen Tartar & Razieh Davarikish, 2021. "Does Scientific Productivity Stimulate Intensified Technology Exports in Developing Economies," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(4), pages 2111-2135, December.

    More about this item

    Keywords

    International trade; Chain Heckscher-Ohlin;

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cii:cepiie:2019-q1-157-10. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/cepiifr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.