Saturday, December 22, 2007

A Trade Question to think about?

From Delong's exams;

Why would an international trade economist like David Ricardo have thought that the United States would and should become a very large almost entirely agrarian civilization--a giant Canada? It was clear by 1900 that David Ricardo was wrong? Why was he wrong?

1 comment:

Zwerdling said...

Perhaps it had something to do with the physiocratic view of the production of wealth?

For those who haven't had the wonderful opportunity of an historical economics class:
http://en.wikipedia.org/wiki/Physiocrats