Natural resource and the structure of Australia's foreign trade
| dc.contributor.author | Chatterjee, Srikanta | |
| dc.date.accessioned | 2023-04-27T08:57:43Z | |
| dc.date.available | 2023-04-27T08:57:43Z | |
| dc.date.issued | 2023 | |
| dc.description.abstract | The factor proportions model of international trade hypothesises that a country would export a product which is intensive in the country's relatively abundant factor of production. However, once the model is extended beyond its original two-factor framework, the establishment of a country's factor endowment becomes somewhat blurred. Following Leontief's celebrated paradox relating to the structure of US foreign trade, attempts have been made to re-examine the factor content of a country's net exports, i.e. its exports minus its imports. A country's net exports must equal its production less its consumption. Its production embodies its own factor endowments, while its consumption embodies a fraction of world factor endowments equal to its share in world income (the homotheticity assumption). Thus, if a country is abundantly endows with a particular factor, in the sense that its share of the factor exceeds its share of world income, its exports must embody more of that factor than its imports. | en_US |
| dc.identifier.uri | http://econspace.ips.lk/handle/789/3755 | |
| dc.language.iso | en | en_US |
| dc.subject | Australia's foreign trade | en_US |
| dc.title | Natural resource and the structure of Australia's foreign trade | en_US |
| dc.type | Other | en_US |