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picture1_Economics Pdf 125439 | 181s04lect4nts


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 87x       Filetype PDF       File size 0.34 MB       Source: eml.berkeley.edu


File: Economics Pdf 125439 | 181s04lect4nts
Lecture #4 Economics 181 International Trade: Specific Factors Model, I Finishing Up Ricardo I. Many goods II. Shortcomings of Ricardian Framework: • One factor of production • No distributional conflicts ...

icon picture PDF Filetype PDF | Posted on 11 Oct 2022 | 2 years ago

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...Lecture economics international trade specific factors model i finishing up ricardo many goods ii shortcomings of ricardian framework one factor production no distributional conflicts not affected by endowments like land or capital moves costlessly from producing good to another possibility for dynamic comparative advantage iii new overcomes some these limitations the called this because are certain ie only used produce those assumptions manufactures m and food f labor l k t is mobile a functions as follows q lm lf diminishing returns increase input get less additional output point leads function that looks diagram above concave slopes upwards rises but slope gets flatter add more change in marginal mpl falls leading downward sloping curve below on left curves both can be transformed into demand multiplying them prices equilibrium pm x mplm w pf mplf rewritten our goal now show what possibilities frontier with recall ppf shows all possible combinations two economy straight line we begi...
								

							

						
	
												
				
					
					
					
			
					
				
				
		
	

	
		





	

	
				

						

						
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Posted on: 11 Oct 2022 | 2 years ago
										
										
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