Factor Endowments and Industrial Structure

Factor Endowments, Democracy, and Trade Policy Divergence

We develop a stochastic model of electoral competition in order to study the economic and political determinants of trade policy. We model a small open economy with two tradable goods, each of which is produced using a sectorspecific factor (e.g., land and capital) and another factor that is mobile between these tradable sectors (labor); one nontradable good, which is also produced using a spec...

Immigration, Industrial Revolution and Urban Growth in the United States, 1820-1920: Factor Endowments, Technology and Geography

Do Factor Endowments Matter for North-North Trade?

The central paradigm of world trade patterns divides this into two elements. Trade between North and South is viewed as determined by traditional comparative advantage, largely determined by differences in endowment patterns. Trade within the North is viewed as determined by specialization due to economies of scale and product differentiation. In this paper, we will argue that this division is ...

The Determinants of Capital Intensity in Manufacturing: The Role of Factor Endowments and Factor Market Imperfections

In this study, we look at the determinants of industry-level capital intensities. Using cross-country data, we find that the most important determinant is a country’s factor endowment. In addition, we find that measures of labor regulation and financial development also matter: less restrictive labor regulations and greater financial development are associated with lower and higher capital-inte...

Endowments, Market Potential, and Industrial Location: Evidence from Interwar Poland (1918-1939)

The paper explores the determinants of industry location across interwar Poland. After the political reunification of Poland at the end of 1918 its industry faced massive structural changes: the removal of internal tariff barriers and improved infrastructure strengthened the domestic market, while foreign market relations were cut off. Similarly, the geographical dispersion of factor endowments...