1887

UN Department of Economic and Social Affairs (DESA) Working Papers

The UN Department of Economic and Social Affairs (DESA) Working Papers aim to stimulate discussion and critical comment on the broad range of economic, social and environmental issues associated with the United Nations Development Agenda.

English

Trade Liberalization and Employment

This paper reviews both multi-country and country studies on the impact of trade liberalization on growth and employment in developing countries. These studies reveal sharply contrasting effects of trade liberalization on employment, suggesting that country-specific and contingent factors are important. In particular, differences in how trade liberalization is implemented are particularly important. In order to be successful, trade liberalization needs to be embedded within a coherent set of macroeconomic, structural and social policies.

English

Keywords: trade liberalization, employment, wage differentials, developing countries
JEL: F16: International Economics / Trade / Trade and Labor Market Interactions; E24: Macroeconomics and Monetary Economics / Consumption, Saving, Production, Investment, Labor Markets, and Informal Economy / Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
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