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Download or Read Theory of International Trade :

Download or Read Theory of International Trade :

Read online or Download Theory of International Trade : A Dual, General Equilibrium Approach by Avinash Dixit and Victor Norman



Overview:

This book expounds trade theory emphasizing that a trading equilibrium is general rather than partial, and is often best modelled using dual or envelope functions. This yields a compact treatment of standard theory, clarifies some errors and confusions, and produces some new departures. In particular, the book (i) gives unified treatments of comparative statics and welfare, (ii) sheds new light on the factor-price equalization issue, (iii) treats the modern specific-factor model in parallel with the usual Heckscher-Ohlin one, (iv) analyses the balance of payments in general equilibrium with flexible and fixed prices, (v) studies imperfect competition and intra-industry trade.

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Understanding Balance of Trade . Trade, in general connotation, means the purchase and sales of commodities. In International Trade, purchase and sale are replaced by

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