Trade models that include country-specific fixed or random effects are more in line with modern economic theory, in particular with the relative costs hypothesis.
Under such a presupposition, some influential marriage theories have come into being, of which Becker's marriage theory "gains to trade" and Easterlin's "relative income hypothesis" are two that have been influential.
(This scenario is actually only coherent if the relative income hypothesis is the correct account of the causal mechanism. For the explanation, see Sreenivasan 2009b).
These results support the relative saliency hypothesis and highlight the fact that observers adopt different change-detection strategies for two features, especially when relative saliency exists between the two feature dimensions.
According to marriage market theories, gains-to-trade theories, and the relative income hypothesis, an individual is considered to be the main actor and the master of the fate of marriage.
Our case does not involve levelling down in this sense, as it does produce absolute health benefits for some (via the relative income hypothesis), even though it does not produce absolute income benefits for anyone.
By contrast, the relative income hypothesis holds, roughly, that an individual's life expectancy is also a function of the relative level of her income that is, its level compared to others' income in her society and not simply of its non-comparative level (Wilkinson 1996).
Consider the case in which normatively we affirm a priority of health principle, but empirically the relative income hypothesis is correct that is, an individual's life expectancy is also a function of her income as compared to others' income in her society and not simply of its non-comparative level.
But James Duesenberry introduced the relative income hypothesis: that people view consumption and saving relative to others around them.
I will then discuss a number of issues raised by the relative specificity hypothesis.
The phenomena were generalized to formulate the relative specificity hypothesis, which has a number of features and implications.
