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Classification of the frontier in the three-country, three-good Ricardian model

Author

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  • Takeshi Ogawa

    (Nagoya University)

Abstract

The production assignment problem assumes a central role in the multi-country, multi-good Ricardian trade model. However, resolution of the problem is not sufficient to illustrate the shape of the world production frontier, even if the examination is limited to efficient production of all goods. This study established the frontier pertinent to the three-country, three-good Ricardian model by connecting Ikema's (1993) illustration to McKenzie's (1954) efficient facets in order to classify the shape of the world production frontier. Our analysis indicates that the illustration of the Ricardian model has more explanatory power than the production assignment problem in identifying the shape of the world production frontier, at least in the three-country, three-good model.

Suggested Citation

  • Takeshi Ogawa, 2012. "Classification of the frontier in the three-country, three-good Ricardian model," Economics Bulletin, AccessEcon, vol. 32(1), pages 639-647.
    • Handle: RePEc:ebl:ecbull:eb-10-00710
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    More about this item

    Keywords

    World production frontier; the Ricardian model; Classification; Efficient facet; Illustration;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • D2 - Microeconomics - - Production and Organizations

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