International trade and unemployment: A quantitative framework

Arbeitspapier

Quantifying the welfare effects of trade liberalization is a core issue in international trade. Existing frameworks assume perfect labor markets and therefore ignore the effects of aggregate employment changes for welfare. We develop a quantitative trade framework which explicitly models labor market frictions. To illustrate, we assess the effects of trade and labor market reforms for 28 OECD countries. Welfare effects of trade agreements are magnified when accounting for employment changes. While employment and welfare increase in most countries, some experience higher unemployment and lower welfare. Labor market reforms in one country have small positive spillover effects on trading partners.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: CESifo Working Paper ; No. 4013

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Empirical Studies of Trade ; Trade and Labor Market Interactions ; Trade Policy; International Trade Organizations
• Thema: international trade ; unemployment ; trade costs ; structural estimation ; gravity equation

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Heid, Benedikt ; Larch, Mario
• Ereignis: Veröffentlichung
• (wer): Center for Economic Studies and ifo Institute (CESifo)
• (wo): Munich
• (wann): 2012

Weitere Informationen

• Handle: http://hdl.handle.net/10419/68220
• Letzte Aktualisierung: 20.09.2024, 08:21 MESZ