Economics
Multilateral Comparative Advantage, Tariffs as Wedges, and the Heckscher–Ohlin Extension
This article presents a formal account of multilateral comparative advantage, treating global production as an assignment problem determined by relative unit costs and equilibrium prices. Tariffs are modeled as ad valorem wedges that distort effective prices, misallocate production, and generate welfare losses even when trade balances are unchanged. Extending the