This paper investigates international migrations patterns by skill and by region across the European Union during the period 1988-2005, which is characterised by substantial economic integration and further geographic enlargement. After presenting some facts about the regional distribution of skills of natives and foreigners, and their evolution over time, we develop a theoretical model where t...

Factor price equality across countries is an important implication of the Heckscher-Ohlin-Samuelson model of international trade. Although an influential theoretical result, the model has received surprisingly little empirical support. Burgman and Geppert (1993) argue that this might be due to the neglect of the nonstationarity property of the time series under consideration. Using a cointegrat...

Abstract Two‐ or more‐factor general equilibrium models commonly assume no factor intensity reversals (FIRs): a good that is relatively capital intensive compared with other goods within country/region also another country/region. This assumption so important its breakdown results in the collapse of several well‐known theorems, such as Heckscher–Ohlin theorem and Stolper–Samuelson theorem. Seei...

A BSTRACT According to the Heckscher-Ohlin-Vanek theorem, the net exports of a region are determined by relative abundance of the immobile factors of production. Empirical tests of this theory, usually at a high level of aggregation, have frequently not supported it. We find, instead, that data on interstate trade in wood products within the United States are in strong agreement with the theore...

Previous research has uncovered precious little support for Heckscher-Ohlin trade theory. This paper demonstrates that those efforts focus on an overly restrictive version of the model. Indeed, strong evidence that output is a function of endowments can be found if we recognize that countries with sufficiently disparate endowments specialize in different subsets of goods. This paper develops a ...