Low-Income-Country Import Competition and the Structure of Earnings Inequality in Canada, 1996-2001
Bibliographic Data
| ID | 4139751 |
|---|---|
| Authors | Sébastien Breau (0000-0002-5594-2674, McGill University, corresponding author) |
| Year | 2010 |
| Volume | 42 |
| Issue | 8 |
| Pages | 1964-1986 |
| Publication date | 2010-08-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Environment and Planning A Economy and Space (JOURNAL) |
| Journal identifiers | ISSN: 0308-518X • E-ISSN: 1472-3409 |
| Publisher | SAGE Publications Inc (PUBLISHER) |
| DOI | 10.1068/a42288 |
| OpenAlex | W2159099639 |
| Language | EN |
| References cited | 55 |
This paper uses a detailed employer-employee dataset to test the effects of low-income-country import competition on the earnings of workers in manufacturing industries in Canada. From 1996 to 2001 earnings inequality increased: the wage gap between manufacturing workers with a university degree and those without a high school diploma rose from 35% to 43%. Greater import competition is found to explain part of the growing wage gap, consistent with Stolper-Samuelson effects. Point estimates suggest that these effects increased slightly over the period of study and are strongest in Quebec, Ontario, and British Columbia, provinces with the highest low-income-country import-penetration rates. However, the results also suggest (i) the relative wage effects of increased import competition are not as 'clear cut' as predicted by the Stolper-Samuelson theorem and (ii) that other individual and plant-level factors are important determinants of the structure of earnings inequality in Canada
Demographic economics · Earnings · Economic inequality · Economics · Inequality · Labour economics · Percentage point · Wage · Wage Inequality · Firm Innovation and Growth · Global trade and economics · Labor market dynamics and wage inequality
Factor Proportions and the Structure of Commodity Trade
Increasing returns, monopolistic competition, and international trade
Exporters, Jobs, and Wages in U.S. Manufacturing
Protection and Real Wages
High Wage Workers and High Wage Firms
Survival of the best fit
A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity
Interregional and International Trade
Changes in Income Inequality within U.S. Metropolitan Areas
An Illustration of a Pitfall in Estimating the Effects of Aggregate Variables on Micro Units
International trade and wage inequality in Canada
Spatial markets and the potential for economic integration between Canadian and U.S. regions
Geographies of the agenda
Measuring Inequality
Possible Sources of Wage Divergence among Metropolitan Areas of the United States
International Trade, Employment and Earnings
The Leontief Paradox, Reconsidered
The Employer Size-Wage Effect
Market structure and foreign trade
Bringing Income Distribution in From the Cold
Intra-Industry Trade
The Skill Bias of World Trade
Geographers and ‘globalization’
Constructing free trade
Differences in hi‐tech immigrant earnings and wages across Canadian cities
Impacts of Trade on Wage Inequality in Los Angeles
Evaluating the Relative Importance of Variables
Growing Unequal
Urban Inequality Revisited
Changes in the Inequality of Earnings for Young Men in Metropolitan Labor Markets, 1979-1989
Standardized and Unstandardized Coefficients in Causal Analysis
| Citation velocity | historical |
|---|---|
| Highly cited | No |