Work

Price Adjustments and Multiregional Rigidities in the Analysis of World Trade

Year: 1985

Type: article

Abstract: ABSTRACT This paper reviews a variety of approaches to modeling interregional and international trade flows. It then suggests a framework which is capable of combining price formation mechanisms with factors which cause resistance to change and barriers to trade. In certain respects the framework adheres to the Takayama-Judge tradition, but differs by using a probabilistic approach which generates solutions which are not perfectly competitive equilibria. With regard to prices, the adopted framework is Walrasian rather than Marshallian in nature.

Source: Papers of the Regional Science Association

DOI: 10.1007/bf01887909

Authors: David Batten, Börje Johansson

Institutions: Commonwealth Scientific and Industrial Research Organisation, International Institute for Applied Systems Analysis

Language: English

Topic: Global trade and economics

Subfield: General Economics, Econometrics and Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: hybrid

Estimated APC paid: $2,740

Funder: International Institute for Applied Systems Analysis