Keywords: Kuznets Curve, Gini Coefficient, Brazil,

Factor Price Equalization

fixed input/output coefficients), because for small changes the alterations in techniques of production called for by

factor price changes lead to second-order changes in unit costs.

Table 1 Types of Factors 1 2 3 4 5 Industrial Sector(s) A A B A C C B Sector Under Monopoly Yes Yes No Yes No No No Local DMVP 0 0 - 0 0 + - Schedule Change General DMVP 0 - 0 + - Schedule Change

Factor Price Change - - - + - Types of Factors 6 7 8 Industrial Sector(s) D E A E Sector Under Monopoly No No Yes No Local DMVP 0 + 0 + Schedule Change General DMVP 0 + + Schedule Change

Factor Price Change 0 + 0

This inelasticity is called near

factor price equalization (NFPE).

While the analysis focuses on issues of labour adjustment associated with such convergence, it eclectically draws on the extensive literature, much of it recent, that has emerged in related areas: growth convergence and preconditions for growth; migration, resource rents and equalization payments; spatial convergence and the growth and decline of cities; neighbourhood effects and the social transmission of inequality; interjurisdictional competition for investment and jobs; and trade liberalization and

factor price equalization.

International trade is introduced and general equilibrium yields the

factor price equalization theorem.

This is purely a domestic

factor price effect and is not influenced by the level of

factor prices elsewhere.

Contrary to the original proof of this theorem, given by Vanek(4),

factor price equalization is not assumed in Bertrand's model.

When an economy experiences emigration, the adjustment may involve various combinations of employment and

factor price changes.

Deskpro EN Series Small Form

Factor price includes Compaq V55 Monitor.

Using data from 1972-92, they conclude that all regions do not face the same relative

factor price; rather, there are at least three distinct

factor price cones.

For firms that reported zero expenditures on purchased transportation services or fuel, the average regional

factor price was used as a proxy for the market price.