Jump to ContentJump to Main Navigation
Samuelsonian Economics and the Twenty-First Century$
Users without a subscription are not able to see the full content.

Michael Szenberg, Lall Ramrattan, and Aron A. Gottesman

Print publication date: 2006

Print ISBN-13: 9780199298839

Published to Oxford Scholarship Online: January 2009

DOI: 10.1093/acprof:oso/9780199298839.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (www.oxfordscholarship.com). (c) Copyright Oxford University Press, 2019. All Rights Reserved. Under the terms of the licence agreement, an individual user may print out a PDF of a single chapter of a monograph in OSO for personal use (for details see www.oxfordscholarship.com/page/privacy-policy).date: 16 July 2019

Paul Samuelson and International Trade Theory Over Eight Decades

Paul Samuelson and International Trade Theory Over Eight Decades

(p.197) 13 Paul Samuelson and International Trade Theory Over Eight Decades
Samuelsonian Economics and the Twenty-First Century

Avinash Dixit (Contributor Webpage)

Oxford University Press

This chapter provides an appraisal of Samuelson's work on trade theory. It explains the scientific importance of starting with the Ricardian 2x2 model and the current literature on comparative advantage. Samuelson rests this model on the shoulders of giants, whether we want to explain gains from trade by swapping bananas for steel, or from the modern theoretical points of view. Samuelson has picked up this model without any rigorous proof and has given it many ‘operational’ assumptions so that one can test — or falsify — its predictive or explanatory powers. Proof of this model led to the welfare gain concept that Samuelson advanced from the classics, and anchored squarely on the First and Second Welfare Theorems. With these theories, trade can now be modeled to assess who gains, for instance, in the formation of a free trade agreement. This kind of research has only just begun.

Keywords:   2x2 models, Pareto efficient, Stolper-Samuelson Theorem, Arrow-Debreu Theorem, incomplete markets, Richard

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .