Download PDF by C.J. Rijnvos: A new approach to the theory of international trade

By C.J. Rijnvos

ISBN-10: 1461343852

ISBN-13: 9781461343851

ISBN-10: 9024718511

ISBN-13: 9789024718511

Seen from a methodological perspective, the perform of financial technological know-how contains severe and theoretical considering. the explicit nature of those fields of research, their obstacles and mutual adjustment were lined by means of us l in different places. It turned obvious that severe pondering goals at attaining a logical information description, simplifying social financial truth. in accordance with those information, it's the job of thought to find logical legislation in fiscal job, if this is often discovered in a rational demeanour - and this is often obviously a theoreticalĀ­ analytical situation. monetary technology in accordance with this constitution might be obvious within the diagram under. A extra huge precis is supplied within the synopsis of 'valuation of financial science', on the finish of this research. 1. appraisal of monetary fact; 2. a logical constant description of knowledge as a foundation to idea; three. formula of traits in fiscal procedure. A technology pursued with this target could fall brief in methods. within the first example, it really is attainable that the severe pondering is just too some distance divorced from truth. the information from which during this example conclusions are made, are unĀ­ real looking; they're most likely too idealistic. during this method a foundation is laid for the 1. See our learn Waardering van het economisch denken. extra specific bankruptcy IV. 2 creation futile formula of legislation in a presupposed financial technique, as the conclusions of technology are very faraway from reality.

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Extra resources for A new approach to the theory of international trade

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6 Supply and demand reciprocally recognize each other. In a graphical representation of this, and in accordance with a formulation by Towle, curves with 'the demands of the two countries for each other's products in terms of their own products'? are formed. This description means that the 'reciprocal demand curve (rd) is an internal home exchange ratio line based on subjective assessment. Figure 5 shows the 'rd' curves developed in connection with the pre- B-15t---I--f-t-----:;F---t-----1f------I o 5 10 15 I A 20 Fig.

C2 56 DIFFERENTIATED FACTOR RATIOS basis of the 'trade indifference curve' by a displacement of the transformation line along the indifference curve - in so far as it concerns the production points - from A to D. This displacement takes place in such a way, that the y-axis remains always strictly vertical and the x-axis precisely horizontal. The next link in the theory is that the prosperity position of the country concerned, remains constant when in point D - after the production specialization which has then been reached already - a quantity of C1 amounting to OE is exported whilst an amount OF in C2 is imported.

Pg. 128. 5 The effect is that Say's law - each supply creates its own demand - is introduced into international economy. Mter all, Marshall himself states: '''supply and demand" is but another expression for "reciprocal demand"'. 6 Supply and demand reciprocally recognize each other. In a graphical representation of this, and in accordance with a formulation by Towle, curves with 'the demands of the two countries for each other's products in terms of their own products'? are formed. This description means that the 'reciprocal demand curve (rd) is an internal home exchange ratio line based on subjective assessment.

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A new approach to the theory of international trade by C.J. Rijnvos


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