According to Staffan Linder, the factor-endowment theory is useful in explaining trade patterns in manufactured goods, but not primary products.

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Staffan Linder proposed that trade patterns for manufactured goods are better explained by similarities in demand structures of countries with similar per capita incomes, rather than by the factor-endowment theory, which is traditionally used to explain trade in both manufactured goods and primary products.

According to Staffan Linder, the Factor-Endowment Theory Is Useful in Explaining