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GTAP Resource #2236

"Trade and rising wage inequality: What can we learn from a decade of computable general equilibrium analysis?"
by Winchester, Niven

This paper surveys computable general equilibrium (CGE) contributions to the trade-wage debate. We conclude that this literature provides an avalanche of support for the view that trade has had only a minor influence on wage inequality through Heckscher-Ohlin channels. Moreover, some studies show that trade may be associated with declining wage inequality and/or reveal that North-North trade is responsible for a greater proportion of the increase in Northern wage inequality than North-South trade. The impact of trade-induced technical change, however, has received little attention in the CGE literature.

JEL classification: C68, F16

Keywords: computable general equilibrium modeling, trade and wages

Resource Details (Export Citation) GTAP Keywords
Category: GTAP Application
Other CGE Application
Status: Not published
By/In: University of Otago, Economics Dicussion Paper, 0606
Date: 2006
Created: Winchester, N. (12/12/2006)
Updated: Dimaranan, B. (1/17/2007)
Visits: 1,968
- Labor market issues

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