Limited evidence of global factor price equality challenges trade theories.
Factor prices in different countries should be equal according to a trade model, but this hasn't been proven much. Burgman and Geppert found some evidence for this using a special method, but it might not be very strong. When looking at real labor costs instead of just numbers, the evidence gets weaker. Bivariate tests show some connection between factor prices in the long term, but not as much in a more complex analysis.