Contrary to the predictions of the 2×2×2 Heckscher-Ohlin model, empirical evidence shows that the skill premium increased in some developing countries and decreased in others after trade liberalization. Khalifa (2014) attempts to reconcile the empirical evidence with the theoretical...

Using Hansen's (1999) threshold estimation technique and Panel Study of Income Dynamics (PSID) data set for the waves of 2001, 2003 and 2005, we estimate the effects of the fluctuations in financial wealth on the consumption behaviour of households for different endogenously determined income...