scholarly journals The Effects of the Chinese Imports on Brazilian Manufacturing Workers

Economies ◽  
2019 ◽  
Vol 7 (3) ◽  
pp. 76
Author(s):  
Lourenço S. Paz ◽  
Kul Prasad Kapri
Keyword(s):  
Household Survey ◽  
The Other ◽  
Unskilled Labor ◽  
Skilled Workers ◽  
Import Penetration ◽  
Informal Workers ◽  
Penetration Effect ◽  
Unskilled Workers ◽  
Positive Effect ◽  
Skilled And Unskilled Workers

This study examines the impacts of imports from China and from the Rest of the World (ROW) on the wages of Brazilian manufacturing workers during 2000–2012. In this period, import penetration in Brazil grew by 25 percent, and the Chinese share of it increased from 3 to 20 percent. Using household survey data that encompass both formal and informal workers, we find that imports from China and from the ROW had different effects on manufacturing skilled and unskilled workers’ wages. Both the skilled and unskilled workers were negatively affected by an increase in the Chinese import penetration of intermediate inputs. For skilled workers, the ROW import penetration effect was negative for labor-intensive industries and positive for the other industries, while the Chinese import penetration had a positive effect on skilled workers’ wages. For the unskilled workers, we find that those in unskilled-labor intensive industries experienced positive impacts from both China and ROW import penetrations, whereas larger import penetrations reduced the wages for unskilled workers in the other industries.

scholarly journals The World Technology Frontier

2006 ◽  
Vol 96 (3) ◽  
pp. 499-522 ◽  
Author(s):  
Francesco Caselli ◽  
Wilbur John Coleman
Keyword(s):  
Skilled Labor ◽  
Simple Explanation ◽  
Unskilled Labor ◽  
Skilled Workers ◽  
Poor Countries ◽  
Aggregate Production Function ◽  
Unskilled Workers ◽  
Cross Country ◽  
Rich Countries ◽  
Lower Income Countries

We study cross-country differences in the aggregate production function when skilled and unskilled labor are imperfect substitutes. We find that there is a skill bias in cross-country technology differences. Higher-income countries use skilled labor more efficiently than lower-income countries, while they use unskilled labor relatively and, possibly, absolutely less efficiently. We also propose a simple explanation for our findings: rich countries, which are skilled-labor abundant, choose technologies that are best suited to skilled workers; poor countries, which are unskilled-labor abundant, choose technologies more appropriate to unskilled workers. We discuss alternative explanations, such as capital-skill complementarity and differences in schooling quality.

Import Competition and Post-displacement Wages in Korea: Whom You Trade with Matters

2016 ◽  
Vol 16 (4) ◽  
Author(s):  
Youngho Kang ◽  
Hyejoon Im
Keyword(s):  
Survey Data ◽  
Longitudinal Survey ◽  
Displaced Workers ◽  
Import Competition ◽  
Skilled Workers ◽  
Advanced Country ◽  
Longitudinal Survey Data ◽  
Trading Partners ◽  
Unskilled Workers ◽  
Skilled And Unskilled Workers

Abstract: Using longitudinal survey data from Korean workers, we examine whether the effects of import competition on post-displacement wages are heterogeneous between skilled and unskilled workers for trading partners with different endowments of (un)skilled labor. Reemployment wages of displaced workers show a decrease for skilled workers but an increase for unskilled ones when imports from an advanced country rise, whereas they decrease for unskilled workers but increase for skilled ones when imports from a developing country rise. The results provide support for the Stolper–Samuelson theorem.

scholarly journals Emigration, Immigration, and Skill Formation: The Case of a Midstream Country

2014 ◽  
Vol 2014 ◽  
pp. 1-8 ◽  
Author(s):  
Kenji Kondoh
Keyword(s):  
Immigration Policy ◽  
Wage Rate ◽  
Income Tax ◽  
National Income ◽  
Developed Countries ◽  
Unskilled Labor ◽  
Small Country ◽  
Skilled Workers ◽  
Skill Formation ◽  
Unskilled Workers

This study theoretically investigates the economy of a small country that exports skilled labor to higher developed countries and simultaneously imports unskilled labor from lower developed countries. Compared with the free immigration case, if this country adopts an optimally controlled immigration policy by imposing income tax on immigrants to maximize national income, skills formation is negatively affected and the number of domestic unskilled workers increases. Moreover, under certain conditions, we can assert the counter-intuitive possibility that the wage rate of domestic unskilled workers may decrease but that of skilled workers may increase owing to the restriction of foreign unskilled workers.

scholarly journals The Economic Impact of Immigration on Domestic Employment in a Dual Economy: A New Sustainable Challenge

2019 ◽  
Vol 12 (2) ◽  
pp. 39
Author(s):  
Luigi Aldieri ◽  
Bruna Bruno ◽  
Concetto Paolo Vinci
Keyword(s):  
Economic Impact ◽  
Unskilled Labor ◽  
Negative Consequences ◽  
Dual Economy ◽  
Unskilled Workers ◽  
The Impact ◽  
Two Sectors ◽  
Skilled And Unskilled Workers

This paper examines the impact of immigration within an economy based on two sectors, facing administered wages. It is characterized by skilled and unskilled workers. It will be shown that immigration has no effects on skilled employment and negative consequences on employment of unskilled labor.

Workforce Composition, Productivity, and Labor Regulations in a Compensating Differentials Theory of Informality

2021 ◽  
Author(s):  
Daniel Haanwinckel ◽  
Rodrigo R Soares
Keyword(s):  
Firm Size ◽  
Cost Effective ◽  
Skilled Workers ◽  
Informal Labor ◽  
Labor Regulations ◽  
Wage Premiums ◽  
Unskilled Workers ◽  
Policy Simulations ◽  
Workforce Composition ◽  
Skilled And Unskilled Workers

Abstract We develop a search model of informal labor markets with realistic labor regulations, including minimum wage, and heterogeneous workers and firms. Smaller firms and lower wages in the informal sector emerge endogenously as firms and workers decide whether to comply with regulations. Because skilled and unskilled workers are imperfect substitutes in production, the model uniquely captures the informality consequences of shocks that affect returns to skill, such as rising educational levels. The model also reproduces empirical patterns incompatible with other frameworks: the presence of skilled and unskilled workers in the formal and informal sectors, the rising share of skilled workers by firm size, and formal and firm-size wage premiums that vary by skill level. We estimate the model using 2003 data from Brazil and show that it successfully predicts labor market changes observed between 2003 and 2012. Under a range of different assumptions, changes in workforce composition appear as the main drivers of the reduction in informality over this period. Policy simulations using the estimated model suggest that progressive payroll taxes are a cost-effective way to reduce informality.

ARTIFICIAL INTELLIGENCE AND HUMAN JOBS

2020 ◽  
pp. 1-40
Author(s):  
Chia-Hui Lu
Keyword(s):  
Artificial Intelligence ◽  
Labor Market ◽  
Labor Force Participation ◽  
Unemployment Rate ◽  
Unskilled Labor ◽  
Participation Rates ◽  
Skilled Workers ◽  
Human Labor ◽  
Negative Effect ◽  
Positive Effect

The development of artificial intelligence (AI) does influence human jobs but not necessarily in a negative way. Although labor force participation rates and firms’ job vacancies for human labor decline, the unemployment rate may be lower than that in an economy without AI. In an economy with heterogeneously skilled workers, the invention of AI usually has a negative effect on the skilled labor market but a positive effect on the unskilled labor market. The overall unemployment rate may decline as AI develops.

scholarly journals Dampak Upah Minimum terhadap Probabilitas Keluar dari Sektor Formal

2019 ◽  
pp. 119-139
Author(s):  
Clara Tridiana ◽  
Diah Widyawati
Keyword(s):  
Minimum Wage ◽  
Minimum Wages ◽  
Probit Regression ◽  
Formal Sector ◽  
Skilled Workers ◽  
Job Classification ◽  
Unskilled Workers ◽  
Wage Regulation ◽  
Skilled And Unskilled Workers

The effectiveness of minimum wages is still debated, even though minimum wage regulation increases worker’s wages, yet it causes “disemployment effect”. This study aims to identify differences in minimum wages impact on probabilities out of formal sector for unskilled and skilled workers. The type of skill used is based on job classification. Using Sakernas data in August 2010 and 2015, probit regression was conducted to estimate minimum wages impact on probabilities out of formal sector on skilled and unskilled workers. Based on analysis, minimum wage on probability of exit from formal sector is higher for unskilled workers than skilled workers. ============================= Efektivitas penerapan upah minimum masih diperdebatkan, karena meskipun upah minimum meningkatkan upah pekerja, namun di sisi lain dapat menyebabkan “disemployment effect”. Penelitian ini bertujuan mengidentifikasi perbedaan dampak upah minimum terhadap probabilitas keluar dari sektor formal pada tenaga kerja tidak terampil dan terampil. Tipe keterampilan yang digunakan dalam penelitian ini berdasarkan klasifikasi jenis pekerjaan. Dengan menggunakan data Sakernas Agustus 2010 dan 2015, penelitian ini menggunakan regresi probit untuk mengestimasi dampak upah minimum terhadap probabilitas keluar dari sektor formal pada tenaga kerja terampil dan tidak terampil. Hasil yang diperoleh adalah dampak upah minimum terhadap probabilitas keluar dari sektor formal lebih tinggi pada tenaga kerja tidak terampil dibandingkan tenaga kerja terampil.

Skilled Labor, Unskilled Labor, and Experience Over Time

2016 ◽  
Author(s):  
Francesco Caselli
Keyword(s):  
Technical Change ◽  
The United States ◽  
Elasticity Of Substitution ◽  
Relative Wage ◽  
Unskilled Labor ◽  
Skilled Workers ◽  
Skill Bias ◽  
Unskilled Workers ◽  
Joint Behavior ◽  
Over Time

This chapter examines what the joint behavior of relative wage and relative supply reveal about the underlying changes in technology, with a focus on the United States. It distinguishes workers by two characteristics: skill and experience. It classifies the labor force into four kinds of workers: experienced skilled workers, inexperienced skilled workers, experienced unskilled workers, and inexperienced unskilled workers. The equation takes into account the quantities of unskilled inexperienced inputs, unskilled experienced inputs, skilled inexperienced inputs, and skilled experienced inputs, as well as the elasticity of substitution between unskilled inexperienced and unskilled experienced workers, and skilled inexperienced and skilled experienced ones. The results confirm many previous findings of a significant skill bias in technical change between 1960 and 2010, and also reveal an experience bias in technical change over roughly the same period, especially among skilled workers and since the 1980s.

Is Policy Coordination a Good Idea? Public Inputs and Policy Harmonization with Skilled and Unskilled Workers

2016 ◽  
Vol 45 (3) ◽  
pp. 423-440
Author(s):  
Raymond G. Batina
Keyword(s):  
Tax Competition ◽  
Policy Coordination ◽  
Unskilled Labor ◽  
The Public ◽  
Public Input ◽  
Public Inputs ◽  
Unskilled Workers ◽  
Skilled And Unskilled Labor ◽  
Skilled And Unskilled Workers ◽  
Total Welfare

We extend the classic Zodrow–Mieszkowski model of tax competition with a public input to the case where there is skilled and unskilled labor. The policy rule governing the optimal provision of the public input contains a new term capturing an equity effect that takes into account the disparity in wages between skilled and unskilled workers. The equity effect can work in the opposite direction of efficiency. Under a coordinated policy reform across countries, total welfare improves unambiguously if the public input is underprovided prior to the reform and a concern for equity enhances the effect of improved efficiency on welfare. However, total welfare may also improve even if the public input is initially overprovided if the improvement in the unskilled wage due to the reform is large enough.

Trade and jobs in South Africa: a case of skilled vs unskilled workers

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Brian Tavonga Mazorodze
Keyword(s):  
South Africa ◽  
Skilled Workers ◽  
Cross Sectional ◽  
Content Type ◽  
Pooled Mean Group ◽  
Market Disruption ◽  
Common Correlated Effects ◽  
Unskilled Workers ◽  
The Impact ◽  
Skilled And Unskilled Workers

PurposeThe purpose is to establish the impact of trade on manufacturing employment in South Africa.Design/methodology/approachTwo techniques, the Pooled Mean Group (PMG) and the Dynamic Common Correlated Effects (DCCE), are applied on a panel dataset comprising 26 three-digit manufacturing industries with data observed between 1970 and 2016.FindingsThe impact of trade on employment is miniscule at best and insignificant at worst once the study controls for cross-sectional dependency. This is true for both skilled and unskilled workers. Employment of skilled workers is explained by remuneration while employment of unskilled workers is explained by output dynamics.Practical implicationsTrade is widely attacked for causing labour market disruption through job losses. This hypothesis is not supported by data for South Africa as no link is confirmed between trade and employment of skilled and unskilled workers.Originality/valueEstimating the trade and employment link for skilled and unskilled workers while controlling for both endogeneity and cross-sectional dependency.

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