Comparative advantage theory，reflection on free tr...
The comparative advantage theory developed by classical economists Ricardo and Mill，etc.，as well as the factor endowment theory and the factor price equalization theorem put forward by mainstream economists later，are enough to prove that the globalization of free trade can transform technologies from abroad into benefits for both countries.Moreover，mainstream economists have long insisted that economic globalization itself reflects the deepening of international division of labor，the development of free trade，global technological progress and the improvement of productivity.Therefore，globalization and free trade can maximize the benefits of all parties through mutual market opening.In other words，globalization is conducive to the promotion of the interests of all parties，and free trade can realize the greatest interests of all countries.
However，in the face of today ’s practical confusion of economic globalization and the general trend of thought against globalization，we have to think about the following basic issues: First，the preconditions and changes of static comparative advantage and dynamic comparative advantage in the process of free flow of capital investment and trade.In the Internet era when technological progress is accelerating，the flow of various production factors is accelerating.The theory of comparative advantage requires scientific analysis of the mutual transformation between static comparative advantage and dynamic comparative advantage，as well as absolute comparative advantage and relative comparative advantage，and the issue of income distribution.In recent years，under the background of accelerating international flow of capital，technology and other production factors，international capital investment is replacing international trade and becoming an important feature of global economic interdependence.Behind the transformation of capital investment and international trade，it reflects the freedom and global flow of capital，technology，talents and other production factors.This will change the preconditions of traditional comparative advantage，and the comparative advantage of capital investment based on free flow may be different from that of free trade.Therefore，whether the international trade based on the traditional static comparative advantage is sufficient to ensure that both parties or even all parties of the trade can achieve maximum benefits is a theoretical and practical problem worth thinking about.Second，the relationship between economic globalization and the income distribution among countries and within a country.Although the development of free trade and economic globalization has greatly improved the efficiency of global resource allocation and effectively enhanced the productivity of the world economy，economic growth and income growth under free trade and globalization are one thing，and the distribution of income and dividends under globalization is another.Mainstream economic theories and economists may pay more attention to the growth efficiency and dividends brought about by globalization，but they have neglected how the income and rewards from investment and trade can be distributed more fairly and reasonably among different countries and among various strata within a country.Welfare economics has long noticed that a country must handle the relationship between economic growth and income distribution to maximize national welfare.However，from the perspective of globalization and world economic development，people only stick to the theory of comparative advantage and the free trade hypothesis in both theoretical and practical aspects，but ignore how trade returns，investment income and development dividends shall be distributed more fairly and reasonably among different countries or within one country in the process of globalization.Obviously，the relationship between world economic growth and global income distribution under free trade is the core proposition of economics under the background of globalization，which should be highly concerned and deeply studied.