01719cas a2200241 a 4500 AALejournalIMF000890 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451849134 1018-5941 BD-DhAAL BD-DhAAL Hakura, Dalia. A Test of the General Validity of the Heckscher-Ohlin Theorem for Trade in the European Community / Dalia Hakura. Washington, D.C. : International Monetary Fund, 1999. 1 online resource (35 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students While the Heckscher-Ohlin-Vanek (HOV) theorem has been a dominant paradigm in trade theory, the empirical evidence to support it has been weak. This paper develops a modified HOV model that allows technologies to differ across countries. The revised model significantly improves the theory's accuracy in predicting trade flows in contrast to the traditional model. The paper also illustrates that, since countries have different technologies, measures of factor contents of trade in final goods using direct and domestically produced indirect input requirements are more accurate and yield more consistent predictions than do traditional measures. Mode of access: Internet IMF Working Papers; Working Paper ; No. 1999/070 Full text available on IMF http://elibrary.imf.org/view/journals/001/1999/070/001.1999.issue-070-en.xml IMF e-Library