国际贸易概论Chapter 5

1、Chapter 5Who Gains and Who Loses from Trade? Outline of chapter 5pShort-run effects of opening tradepLong-run effects of opening tradepThree implications of the H-O theorypDoes H-O explain actual trade patterns?pWhat are the export-oriented and import-competing factors?pDo factor prices equalize int

2、ernationally?1. Short-run effects of opening tradenShort-run?pIn international trade analysis, the period of time in which factors of production (workers, land, and so forth) can be employed only in the industry or sector in which they are currently employed (so the factors cannot move to employment

3、 in another industry). nGains and losses divided by output sector: all groups tied to rising sectors gain, and all groups tied to declining sectors lose.2. Long-run effects of opening tradenLong-run?pfactors can move between sectors in response to differences in returnspGains and losses divided by f

4、actors: factor which is intensively used in the export gains, and factor which is sparing used in the export lose.Figure 5.1 How Free Trade Affects Income Distribution in the Long Run: The Whole Chain of InfluenceFigure 5.2 Winners and Losers: Short Run Versus Long Run3. Three implication of the H-O

5、 theorynThe Stolper-Samuelson Theorem (S-S theorem)nThe specialized-factor patternnThe factor-price equalization theorema) The Stolper-Samuelson theoremIt raises the real return to the factor used intensively in the rising-price industry; it lowers the real return to the factor used intensively in t

6、he falling price industryNext we will illustrate S-S theorem by example Let r the rental rate earned on land; w is the wage of labor; a, b, c, d are marginal productivities of land and labor in wheat and cloth, respectively.Whats the relation between price and factors under complete competition for

7、wheat and cloth?dwcrMCPbwarMCPclothclothwheatwheatWhere r is the rental rate earned on land; w is the wagerate paid to labor; a, b, c, d are marginal productivities of land and labor in wheat and cloth, respectively. For simplicity, suppose the price of wheat rises 10% and the price of cloth stays t

8、he same. How does r and w change according to the two equations above? we can easily get the following conclusionwmorersteadyPbypclothwheat;%10%;10The Factor Ratio Paradoxb) The specialized-factor patternThe more a factor is specialized in the production of a product whose relative price is rising,

9、the more this factor stands to gain from the change in the product priceThe more a factor is concentrated into the production of a product whose relative price is falling, the more it stands to lose from the change in product pricec) The factor-price equalization theoremWith the shift to free trade:

10、 For each factor, its rate of return becomes more similar between countries. Under ideal conditions, its real rate of return is the same in different countries.Example: Labor. With no trade, the wage rate is high in the labor-scarce country. The wage rate is low in the labor-abundant country.With fr

11、ee trade, the import of labor-intensive products pushes the wage-rate down in the labor-scarce country. The export of labor-intensive products pulls the wage rate up in the labor-abundant country.4. Does H-O Explain Actual Trade Patterns?Economists have tested the H-O theory in several ways.pFactor

12、Endowments: For example, the distribution of the natural resources in the world is not equal to each country.(1)International Trade: Just like the distribution of the natural resources is not equal, we need do the international trade. Though international trade is suitable to the H-O theory, it stil

13、l has some problem.Figure 5.3 - Shares of the Worlds Factor Endowments, Early 2000sFigure 5.4 U.S. International Trade in Selected Products, 20045. What are the export-oriented and import-competing factors?Figure 5.5 A Schematic View of the Factor Content of U.S. Exports and Competing ImportsThe U.S

14、. Pattern reflects two facts: The number of jobs associated with U.S. exports is about the same as the number associated with an equal value of imports. The average skill and pay levels are higher on the export side .The U.S. Pattern:Figure 5.6 - The Factor Content of Canadas Exports and Competing I

15、mportsCanada is a net importer of unskilled labor. Canada is a net importer of labor overall and a slight net exporter nonhuman capital. Canada is a heavy net exporter of mineral-rights services through its exports of both the minerals extracted from the ground and manufactured products made with th

16、ese minerals.The Canadian Pattern:FOCUS ON CHINA Chinas Exports and ImportsChinas Exports and Imports Chinas International Trade in Selected Products, 2003FOCUS ON CHINA Chinas Exports and ImportsChinas Exports and Imports China: Value of Exports and Value of Imports, 1976-20036. Do factor prices eq

17、ualize internationally?What is Heckscher-Ohlin theory（赫克歇尔（赫克歇尔-饿林理饿林理论）论） ? Difference in relative factor and relative commodity prices is translated into a difference in absolute factor and commodity prices between the two nations, which serves as the immediate cause of international trade.【劳动丰富的国

18、家出口劳动密集型产品，进口资本密集型产品；相反，资本丰富的国家出口资本密集型产品，进口劳动密集型产品】What is the factor-price equalization theorem(要素价格均等化要素价格均等化)?When there is free trade in goods, the real reward for any resource (in units of either good) becomes the same in both countries.International trade will bring about equalization in the relative and absolute returns to homogeneous factors across nations.Why the factor prices are not fully equalized across countries at the real world? The factor-price equalization is based on the product price