Bertil Ohlin

DEFINITION of 'Bertil Ohlin'

A Swedish economist who received the 1977 Nobel Memorial Prize in Economics, along with James Meade, for his research on international trade and international capital movements. Ohlin was born in 1899 in Sweden and died in 1979. He held a Ph.D. from Stockholm University and taught at the University of Copenhagen and the Stockholm School of Economics.

BREAKING DOWN 'Bertil Ohlin'

Ohlin developed a highly influential theory of international trade, the Hecksher-Ohlin model, along with his instructor, Eli Hecksher. The model, which ties in with David Ricardo's theory of comparative advantage, says that countries will export those goods that they can produce cheaply and import those goods that are expensive to produce. A country's relative advantages or disadvantages in land, labor and capital will determine what it makes most sense for the country to import and export. The Hecksher-Ohlin theory states that countries will specialize in industries where they can utilize their resources with the most efficiency.

RELATED TERMS
  1. James E. Meade

    A Keynesian economist who won the 1977 Nobel Memorial Prize in ...
  2. Stockholm Stock Exchange (STO) ...

    The main securities market in Sweden, the Stockholm Stock Exchange ...
  3. John R. Hicks

    A British economist who received the 1972 Nobel Memorial Prize ...
  4. Nobel Memorial Prize In Economic ...

    A prestigious award acknowledging outstanding contributions to ...
  5. Douglass C. North

    An American economist and winner of the 1993 Nobel Memorial Prize ...
  6. Heckscher-Ohlin Model

    An economic theory that states that countries export what they ...
Related Articles
  1. Investing News

    Why Tech Startups are Taking Sweden by Storm

    Investors searching for the ideal place to funnel their venture capital might be surprised to find that Sweden is home to a strong tech startup community.
  2. Forex Education

    Forex Tutorial: Economic Theories, Models, Feeds & Data

    There is a great deal of academic theory revolving around currencies. While often not applicable directly to day-to-day trading, it is helpful to understand the overarching ideas behind the ...
  3. Personal Finance

    What Is International Trade?

    Everyone's talking about globalization, so we explain what is it and why some oppose it.
  4. Personal Finance

    Sweden

    These are some of the most expensive places to travel in the world.
  5. Economics

    Macroeconomics: International Trade

    By Stephen Simpson International trade is the exchange of goods, services and capital across national borders. It is a multi-trillion dollar activity, central to the GDP of many countries, and ...
  6. Investing Basics

    Want A Career In Asset Management? Read This First

    When it comes to landing that job at an asset manager, not all degrees are created equally. Here's a look at the best schools for the job.
  7. Professionals

    Introduction

    CFA Level 1 - Section 5: Global Economic Analysis. An introduction to Global Economic Analysis. Highlights the benefits of global trading, such as cost advantages and economies of scale.
  8. Mutual Funds & ETFs

    The Top 3 ETFs For Investing in Sweden

    Discover a selection of popular exchange-traded funds, or ETFs, that offer investors the ability to access exposure to the Swedish equities market.
  9. Financial Advisors

    Where the Ultra-Wealthy Go to School

    Want to concentrate on the best chance for building an ultra-wealth clientele? Start with their schooling ... and always bet on Harvard.
  10. Professionals

    Get An Academic Finance Career

    Working nine months a year and earning a six-digit salary might seem like the high life, but these jobs are not easy to come by.
RELATED FAQS
  1. What are specialization and comparative advantage in international trade?

    Take a closer look at David Ricardo's revolutionary insight about specialization and comparative advantage and the benefits ... Read Answer >>
  2. Is Sweden a developed country?

    Learn why Sweden is considered to be a developed country. Read about how Sweden scored highly on the Human Development Index ... Read Answer >>
  3. Is it possible for a country to have a comparative advantage in everything?

    Learn whether one country can have a comparative advantage in everything and what the difference between comparative advantage ... Read Answer >>
  4. How does globalization impact comparative advantage?

    Learn how comparative advantage is becoming increasingly relevant due to globalization and how this has affected both advanced ... Read Answer >>
  5. Which factors can influence a country's balance of trade?

    Find out about the factors that affect a country's overall balance of trade, including factor endowments, barriers to trade, ... Read Answer >>
  6. What happens when a country focuses exclusively on its competitive advantage?

    Find out what happens when a country intentionally focuses solely on its most competitive factors of production or industries ... Read Answer >>
Hot Definitions
  1. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  2. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  3. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  6. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
Trading Center