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Income Inequality and Development: Overview and Effects of North-South Trade

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2015, BA, Kent State University, College of Arts and Sciences / Department of Mathematical Sciences.
The recent trends of rising income inequality in the trade-intense developing world has called the general validity of the Heckscher-Ohlin model and Stolper-Samuelson theorem into question. In this paper, I examine a panel data set and analyze the effects of various trade factors on income inequality in order to test the predictions of Heckscher-Ohlin and Stolper-Samuelson. I utilize fixed effects and interaction terms to develop a thorough analysis of the relationship between exporting to high-income economies and income inequality for countries of various levels of income. I find evidence that exporting to high-income economies increases income inequality for developing countries, counter to the predictions of the Stolper-Samuelson theorem in the case for North-South trade.
Jooyoun Park (Advisor)
Justin Barnette (Committee Member)
Richard Aron (Committee Member)
Natasha Levinson (Committee Member)
55 p.

Recommended Citations

Citations

  • Porter, T. M. (2015). Income Inequality and Development: Overview and Effects of North-South Trade [Undergraduate thesis, Kent State University]. OhioLINK Electronic Theses and Dissertations Center. http://rave.ohiolink.edu/etdc/view?acc_num=ksuhonors1430872916

    APA Style (7th edition)

  • Porter, Tyler. Income Inequality and Development: Overview and Effects of North-South Trade. 2015. Kent State University, Undergraduate thesis. OhioLINK Electronic Theses and Dissertations Center, http://rave.ohiolink.edu/etdc/view?acc_num=ksuhonors1430872916.

    MLA Style (8th edition)

  • Porter, Tyler. "Income Inequality and Development: Overview and Effects of North-South Trade." Undergraduate thesis, Kent State University, 2015. http://rave.ohiolink.edu/etdc/view?acc_num=ksuhonors1430872916

    Chicago Manual of Style (17th edition)