| Abstract: | This study builds and simulates a high dimensional general equilibrium model of production and trade with inputs of capital and eight separate skilled groups of labor. Constant returns to scale cannot be rejected in any sector as a null hypothesis. International capital flows and labor migration are found to have very small effects on income redistribution, a result which is called near factor price equalization. Protectionism, on the other hand, has more substantial effects. Elasticities describing the income redistribution due to protection in manufacturing, agriculture, and services follow a pattern suggested by factor intensities. 410] |
