Unemployment and Trade Liberalisation Oslington, Paul en_US 2021-11-25T13:42:25Z 2021-11-25T13:42:25Z 2005 en_US
dc.description.abstract In contrast to the focus of the public debate over trade liberalisation on job losses there is a widespread view among economists that unemployment and trade issues should be considered separately. This view cannot be justified theoretically, and ignores the growing number of general equilibrium trade models with unemployment. In a simple model with an exogenous wage floor, trade liberalisation can lead to either gains or losses depending on the production technology, severity of the factor market distortion, factor intensities of the industries, and conditions in trading partners. Definite results can be derived about gains from liberalising trade with lower wage floors, about relative abundance of the unemployed factor dampening losses when trade is liberalised, and about gains when the good which uses the unemployed factor is exported. The theoretical models are then linked to the policy modelling literature, using the example of recent Australian controversies over liberalisation of trade in automobiles and textiles. It is argued that trade liberalisation would be better advanced by including endogenous employment in trade policy simulation exercises and by discussing employment effects rather than brushing them aside as temporary adjustment problems or regional difficulties. en_US
dc.identifier.issn 0378-5920 en_US
dc.language English
dc.language.iso EN en_US
dc.rights CC BY-NC-ND 3.0 en_US
dc.rights.uri en_US
dc.source Legacy MARC en_US
dc.subject.other General Equilibrium Modeling en_US
dc.subject.other Trade Policy en_US
dc.subject.other Unemployment en_US
dc.title Unemployment and Trade Liberalisation en_US
dc.type Journal Article en
dcterms.accessRights metadata only access
dspace.entity.type Publication en_US
unsw.identifier.doiPublisher en_US
unsw.relation.faculty UNSW Canberra
unsw.relation.ispartofissue 8 en_US
unsw.relation.ispartofjournal World Economy en_US
unsw.relation.ispartofpagefrompageto 1139-1155 en_US
unsw.relation.ispartofvolume 28 en_US
unsw.relation.originalPublicationAffiliation Oslington, Paul, Business, Australian Defence Force Academy, UNSW en_US School of Business *
Resource type