Environmental policy, firm dynamics and wage inequality in developing countries

2018 ◽  
Vol 57 ◽  
pp. 70-85 ◽  
Author(s):  
Mong Shan Ee ◽  
Chi-Chur Chao ◽  
Xiangbo Liu ◽  
Eden S.H. Yu
Keyword(s):  
Developing Countries ◽  
Environmental Policy ◽  
Wage Inequality ◽  
Firm Dynamics

scholarly journals DOES OPENNESS REDUCE WAGE INEQUALITY IN DEVELOPING COUNTRIES? PANEL DATA EVIDENCE FROM BANGLADESH

2012 ◽  
Vol 57 (02) ◽  
pp. 1250012 ◽  
Author(s):  
FARZANA MUNSHI
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Theoretical Prediction ◽  
Trade Liberalization ◽  
Dynamic Model ◽  
Wage Inequality ◽  
Manufacturing Industries ◽  
Openness To Trade

This paper provides panel data evidence on trade liberalization and wage inequality in Bangladesh. Estimates from a dynamic model for five major manufacturing industries spanning the 1975–2002 period suggest that the effect of increased openness to trade is associated with a decrease in wage inequality. The result is in line with the theoretical prediction in that greater openness is expected to reduce wage inequality in developing countries.

scholarly journals Lack of Selection and Limits to Delegation: Firm Dynamics in Developing Countries

2021 ◽  
Vol 111 (1) ◽  
pp. 231-275
Author(s):  
Ufuk Akcigit ◽  
Harun Alp ◽  
Michael Peters
Keyword(s):  
United States ◽  
Developing Countries ◽  
Firm Growth ◽  
Firm Dynamics ◽  
Fixed Time ◽  
The United States ◽  
Factors Affecting ◽  
Poor Countries ◽  
Managerial Practices ◽  
Managerial Delegation

Delegating managerial tasks is essential for firm growth. Most firms in developing countries, however, do not hire outside managers but instead rely on family members. In this paper, we ask if this lack of managerial delegation can explain why firms in poor countries are small and whether it has important aggregate consequences. We construct a model of firm growth where entrepreneurs have a fixed time endowment to run their daily operations. As firms grow large, the need to hire outside managers increases. Firms’ willingness to expand therefore depends on the ease with which delegation can take place. We calibrate the model to plant-level data from the United States and India. We identify the key parameters of our theory by targeting the experimental evidence on the effect of managerial practices on firm performance from Bloom et al. (2013). We find that inefficiencies in the delegation environment account for 11 percent of the income per capita difference between the United States and India. They also contribute to the small size of Indian producers, but would cause substantially more harm for US firms. The reason is that US firms are larger on average and managerial delegation is especially valuable for large firms, thus making delegation efficiency and other factors affecting firm growth complements. (JEL D22, G32, L25, L26, O14)

Privatization and wage inequality in developing countries

2018 ◽  
Vol 58 ◽  
pp. 594-603 ◽  
Author(s):  
Jiancai Pi ◽  
Pengqing Zhang
Keyword(s):  
Developing Countries ◽  
Wage Inequality
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