Marjit, Sugata and Kar, Saibal (2009): Emigration, Wage Inequality and Vanishing Sectors.
Download (75kB) | Preview
Emigration leads to finite changes in structure of production and sectors vanish because they cannot pay higher wages. Does emigration of one type of labor hurt the other non-emigrating type in this set up? We demonstrate various scenarios when real income of the emigrating and the non-emigrating type do not move together and in the process generalize some of the existing results in the literature. In particular emigration can lead to a drastic change in the degree of inequality depending on which sectors survive in the post-emigration scenario.
|Item Type:||MPRA Paper|
|Original Title:||Emigration, Wage Inequality and Vanishing Sectors|
|English Title:||Emigration, Wage Inequality and Vanishing Sectors|
|Keywords:||Skill; emigration; wages; inequality; reallocation.|
|Subjects:||D - Microeconomics > D5 - General Equilibrium and Disequilibrium > D50 - General
F - International Economics > F2 - International Factor Movements and International Business
J - Labor and Demographic Economics > J6 - Mobility, Unemployment, Vacancies, and Immigrant Workers > J61 - Geographic Labor Mobility ; Immigrant Workers
|Depositing User:||sugata marjit|
|Date Deposited:||16. Dec 2009 05:47|
|Last Modified:||13. Feb 2013 08:47|
Anwar, S. (2006), Factor mobility and wage inequality in the presence of specialization based external economies, Economics Letters, 93, 1, 88–93.
Anwar, S. (2008), Factor mobility, wage inequality and welfare, International Review of Economics and Finance, 17, 495–506.
Anwar, S. (2009), Wage inequality, welfare and downsizing, Economics Letters, 103, 75–77.
Beladi, H., S. Chaudhuri, and S. Yabuuchi (2008), Can International Factor Mobility Reduce Wage Inequality in a Dual Economy? Review of International Economics, 16, 5, 893–903.
Findlay, Ronald and Ronald Jones (2000), Factor bias and technical progress, Economics Letters, 68, 303–308.
Jones, R.W. (1996), International trade, real wages and technical progress: the specific factors model, International Review of Economics and Finance, 5, 2, 113–124.
Jones, R.W. (1965), The structure of simple general equilibrium models, Journal of Political Economy, 73, 557–572.
Jones, Ronald (1971), A three-factor model in theory, trade and history. In: Bhagwati, J., et al. (Eds.), Trade, Balance of Payments and Growth. North-Holland, Amsterdam, pp. 3–21.
Jones, R. W. (1974), The Small Country in a Many-Commodity World Duality in International Trade: a Geometrical Note, Australian Economic Papers, 13, 225–236.
Jones, Ronald W. and Sugata Marjit (1992), International trade theory and endogenous production structures, in: Neuefeind, W., Riezman, R. (Eds.), Economic Theory and International Trade-Essays in Honor of T. Rader, Berlin, Heidelberg: Springer Verlag.
Marjit, Sugata and Saibal Kar (2005), Emigration and wage inequality, Economics Letters, 88, 141–145.
Oda, Masao and Robert Stapp (2009), Factor Mobility and Wage Inequality, in T. Kamihigashi and L. Zhao (eds.) International Trade and Economic Dynamics – Essays in Memory of Koji Shimomura. Berlin Heidelberg: Springer-Verlag.
Oladi, Reza and Hamid Beladi (2007), International Migration and Real Wages, Economics Bulletin, 6, 30, 1-8.