An Empirical Assessment of the Comparative Advantage Gains from Trade: Evidence from Japan

S-Tier
Journal: American Economic Review
Year: 2005
Volume: 95
Issue: 1
Pages: 208-225

Authors (2)

Daniel M. Bernhofen (American University) John C. Brown (not in RePEc)

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We provide an empirical assessment of the comparative advantage gains from trade argument. We use Japan's nineteenth-century opening up to world commerce as a natural experiment to answer the following counterfactual: "By how much would real income have had to increase in Japan during its final autarky years of 1851-1853 to afford the consumption bundle the economy could have obtained if it were engaged in international trade during that period?" Using detailed historical data on trade flows, autarky prices, and Japan's real GDP, we obtain upper bounds on the gains from trade of about 8 to 9 percent of Japan's GDP.

Technical Details

RePEc Handle
repec:aea:aecrev:v:95:y:2005:i:1:p:208-225
Journal Field
General
Author Count
2
Added to Database
2026-01-24