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Lower Tariff, Rising Skill Premium in Developing Countries: Is it a Coincidence?

Ing, Lily

Description

Even though there are gains from international trade, there is still a case that trade opportunities have significant distributional consequences. This study considers the arguments that trade liberalisation and technological catch-up could raise the skill premium. The first argument has shown, in the North-South trade framework, that a reduction in import tariff may raise the skill premium if the tariff reduction causes the range of the traded goods in which export expansion occurs to be...[Show more]

dc.contributor.authorIng, Lily
dc.date.accessioned2015-12-10T22:56:46Z
dc.identifier.issn0378-5920
dc.identifier.urihttp://hdl.handle.net/1885/60371
dc.description.abstractEven though there are gains from international trade, there is still a case that trade opportunities have significant distributional consequences. This study considers the arguments that trade liberalisation and technological catch-up could raise the skill premium. The first argument has shown, in the North-South trade framework, that a reduction in import tariff may raise the skill premium if the tariff reduction causes the range of the traded goods in which export expansion occurs to be greater than the range of the traded goods in which imports expand. The second argument has shown that technological catch-up could raise the skill premium through export expansion. This paper presents an empirical study of developing economies from 1980 to 2005, which confirms that trade liberalisation raises the skill premium, whilst technological catch-up has an insignificant effect on the skill premium.
dc.publisherBlackwell Publishing Ltd
dc.sourceThe World Economy
dc.subjectKeywords: conference proceeding; developing world; empirical analysis; export; import; international trade; North-South relations; risk assessment; tariff structure; technological development; trade flow; trade liberalization
dc.titleLower Tariff, Rising Skill Premium in Developing Countries: Is it a Coincidence?
dc.typeJournal article
local.description.notesImported from ARIES
local.identifier.citationvolume32
dc.date.issued2009
local.identifier.absfor140210 - International Economics and International Finance
local.identifier.ariespublicationU4105084xPUB536
local.type.statusPublished Version
local.contributor.affiliationIng, Lily, College of Business and Economics, ANU
local.description.embargo2037-12-31
local.bibliographicCitation.issue7
local.bibliographicCitation.startpage1115
local.bibliographicCitation.lastpage1133
local.identifier.doi10.1111/j.1467-9701.2009.01192.x
dc.date.updated2016-02-24T10:36:15Z
local.identifier.scopusID2-s2.0-67650670723
CollectionsANU Research Publications

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