nep-int New Economics Papers
on International Trade
Issue of 2018‒01‒22
25 papers chosen by
Luca Salvatici
Università degli studi Roma Tre

  1. Canada’s Experience with Trade Policy By Karyne B. Charbonneau; Daniel de Munnik; Laura Murphy
  2. Diversification, economies of scope, and exports growth of Chinese firms By Mercedes Campi; Marco Due\~nas; Le Li; Huabin Wu
  3. Attracting FDI in middle-skilled supply chains By Moran, Theodore; Görg, Holger; Serič, Adnan; Krieger-Boden, Christiane
  4. Investment Responses to Trade Liberalization : Evidence from U.S. Industries and Establishments By Justin R. Pierce; Peter K. Schott
  5. A database for investigating foreign direct investment and regional trade By Pédussel Wu, Jennifer; Qari, Salmai; Banach, Clark; Azarhoushang, Behzad
  6. Short-Term and Long-Term Margins of International Trade: Evidence from the Canada-Chile Free Trade By Zhiqi Chen; Marcel-Cristian Voia
  7. The political economy of preferential trade agreements: An empirical investigation By Facchini, Giovanni; Silva, Peri; Willmann, Gerald
  8. Firms’ Leverage and Export Market Participation: Evidence from South Korea By Haeng-Sun Kim
  9. Are international environmental policies effective? The case of the Rotterdam and the Stockholm Conventions By Núñez-Rocha, Thaís; Martínez-Zarzoso, Inmaculada
  10. Occupations and Import Competition By Sharon Traiberman
  11. The ‘China Shock’, Exports and U.S. Employment: A Global Input-Output Analysis By Robert C. Feenstra; Akira Sasahara
  12. On the Measurement of Upstreamness and Downstreamness in Global Value Chains By Pol Antràs; Davin Chor
  13. Trade in Services versus Trade in Manufactures: The Relation between the Role of Tacit Knowledge, the Scope for Catch up, and Income Elasticity By Eddy Bekkers; Michael Landesmann; Indre Macskasi
  14. Urban Assertiveness, Legal Frameworks, Informal Networks and Intercity Trade among the Cities of SADC By Pieterse, Marius
  15. The Quality and the Destination of the Colombian Manufacturing Exports By Juan Esteban Carranza; Alejandra González-Ramírez; Alex Pérez
  16. Estimating Unequal Gains across U.S. Consumers with Supplier Trade Data By Colin Hottman; Ryan Monarch
  17. Foreign Ownership and Intra-Firm Union Density in Germany By Jirjahn, Uwe
  18. The Labor Market Effects of Offshoring by U.S. Multinational Firms: Evidence from Changes in Global Tax Policies By Kovak, Brian K.; Oldenski, Lindsay; Sly, Nicholas
  19. Comment on Suzuki's rebuttal of Batra and Casas By Yoshiaki Nakada
  20. Investment Climate in the EAEU and Korea's Entry Strategy By Lee , Jae-Young; Lee , Cheol-Won; Min , Jiyoung
  21. Working Paper 10-17 - Belgium’s Carbon Footprint - Calculations based on a national accounts consistent global multi-regional input-output table By Caroline Hambye; Bart Hertveldt; Bernhard Klaus Michel
  22. Migration Patterns and Labor Market Outcomes in Tunisia By Anda David; Mohamed Ali Marouani
  23. Gender Gap and Trade Liberalization: An Analysis of some selected SAARC countries By Audi, Marc; Ali, Amjad
  24. An Assessment of the Economic Impact of Globalization In Ethiopia: A Co-Integration Analysis By gebregergis, Cherkos Meaza
  25. Immobility and the Brexit vote By Lee, Neil; Morris, Katy; Kemeny, Thomas

  1. By: Karyne B. Charbonneau; Daniel de Munnik; Laura Murphy
    Abstract: This paper compiles the contemporary view on three major Canadian-led trade policies that have marked Canada’s economic history since Confederation: the National Policy (1879), the Canada–US Agreement on Automotive Products (Auto Pact, 1965) and the Canada–US Free Trade Agreement (FTA, 1989, including its extension to the North American Free Trade Agreement, NAFTA, 1994). The National Policy imposed broad-based tariff increases on imported manufactured goods with the primary intention to promote the development of the Canadian manufacturing sector. However, its effects on the manufacturing sector and on welfare overall were likely negative. The Auto Pact (which helped to liberalize trade in automobiles and auto parts between Canada and the United States) and the Canada–US FTA and NAFTA reversed the protectionism established under the National Policy generations earlier. These agreements generated more trade flows among Canada, the United States and Mexico and had positive benefits for Canadian consumers and producers. Because of production specialization and lower import prices, all participating countries benefited from trade liberalization. These benefits tend to be widely dispersed and fully realized over the longer term. In contrast, trade liberalization can also create significant short-run adjustment costs, negatively affecting certain industries and workers.
    Keywords: International topics, Trade Integration
    JEL: F13 N71 N72
    Date: 2018
  2. By: Mercedes Campi; Marco Due\~nas; Le Li; Huabin Wu
    Abstract: In the 1990s, China started a process of structural reforms and of trade liberalization, which was followed by the accession to the World Trade Organization (WTO) in 2001. In this paper, we analyze trade patterns of Chinese firms for the period 2000-2006, characterized by a notable increase in exports volumes. Theoretically, in a more open economy, firms are expected to move from the production of a set of less-competitive products towards more internationally competitive ones, which implies specialization. We study several stylized facts on the distribution of Chinese firms trade and growth rates, and we analyze whether firms have diversified or specialized their trade patterns between 2000 and 2006. We show that Chinese export patterns are very heterogeneous, that the volatility of growth rates depends on the level of exports, and that volatility is stronger after trade liberalization. Both, diversification in products and destinations have a positive impact on trade growth, but diversification of destinations has a stronger effect. We conclude that the success of Chinese exports is not only due to an increase in the intensive margin, related to the existence of economies of scale, but also due to an increase in the extensive margin, related to the existence of economies of scope.
    Date: 2018–01
  3. By: Moran, Theodore; Görg, Holger; Serič, Adnan; Krieger-Boden, Christiane
    Abstract: While popular opinion often pictures FDI flowing in search of lowest-wage, lowest- skilled activities in emerging markets, actual FDI to such countries increasingly addresses medium to high-skilled manufacturing sectors. Such FDI might be called "Quality FDI" that contributes to the creation of decent and value-adding jobs, enhancing the skill base of host economies, facilitating transfer of technology, knowledge and know-how, boosting competitiveness of domestic firms and enabling their access to world-wide markets, as well as operating in a socially and environmentally responsible manner. To attract such quality FDI, host countries need mindfully tailored policies. Recent research offers evidence for strategies in developing countries that successfully turned FDI into such quality FDI.
    Keywords: foreign direct investment,developing countries,emerging countries,industrial policy
    JEL: F14 F16 O24 O25
    Date: 2018
  4. By: Justin R. Pierce; Peter K. Schott
    Abstract: This paper examines the effect of a change in U.S. trade policy on the domestic investment of U.S. manufacturers. Using a difference-in-differences identification strategy, we find that industries more exposed to reductions in import tariff uncertainty exhibit relative declines in investment after the change in trade policy. Within industries, we find that this relationship is concentrated among establishments with low initial levels of labor productivity, capital intensity and skill intensity. For plants with high initial levels of skill intensity, we find that increased exposure is associated with a relative increase in investment. We also find evidence that establishments' investment activity is smoother following the policy change.
    Keywords: Investment ; Normal trade relations ; Manufacturing ; Most favored nation ; China ; Trade policy
    JEL: F13 F14 F15 F16
    Date: 2017–12–15
  5. By: Pédussel Wu, Jennifer; Qari, Salmai; Banach, Clark; Azarhoushang, Behzad
    Abstract: This short paper introduces a new database combining data on international trade, Foreign Direct Investment, and regional trade agreements. The bilateral data covers 1980-2010 and includes gravity model variables and is appropriate for empirical analysis in a wide variety of contexts.
    Keywords: data,empirical,trade,FDI,RTA
    JEL: F14 C01
    Date: 2017
  6. By: Zhiqi Chen (Department of Economics, Carleton University); Marcel-Cristian Voia (Department of Economics, Carleton University)
    Abstract: We investigate the impact of the Canada-Chile Free Trade Agreement (CCFTA) on Canadian exports to Chile, particularly the dynamic effects of the agreement on extensive and intensive margins of trade. Consistent with the literature, we find that the extensive margin effects occurred later than the intensive margin effects and became more prominent in the long-term. Surprisingly, the intensive margin effects died off in the long-term. A theoretical model is constructed to show that our results can arise in a standard setting of intra-industry trade.
    Keywords: Preferential Trade Agreements; Margins of International Trade, CanadaChile Trade, Nonparametric Decompositions, Regression Discontinuity
    JEL: F12 F13
  7. By: Facchini, Giovanni; Silva, Peri; Willmann, Gerald
    Abstract: In this paper, we develop a political economy model to study the decision of representative democracies to join a preferential trading agreement (PTA), distinguishing between free trade areas (FTA) and customs unions (CU). Our theoretical analysis suggests that income inequality and bilateral trade imbalances are important factors in determining the formation of PTAs, while differences in production structure among prospective member countries determine whether a CU or an FTA will emerge in equilibrium. Using a sample of 136 countries over the period 1960-2005, our empirical analysis lends strong support to these predictions: Income inequality and trade imbalances both reduce the likelihood of PTA formation, while geographical specialization increases the conditional probability of an FTA (over a CU).
    Keywords: Free Trade Areas,Customs Unions,Trade Imbalances,Income Inequality
    JEL: F13
    Date: 2017
  8. By: Haeng-Sun Kim (FFJ - Fondation France-Japon de l'EHESS - EHESS - École des hautes études en sciences sociales, KILF - Korea Institute of Local Finance)
    Abstract: To understand why some firms export while others do not, it is necessary to understand major determinants which lead some firms to engage in exporting. A large base of empirical literature provides evidence that firms which trade are systematically different from those which do not trade in size, productivity, and the involvement of multinational corporations. In this paper, we introduce a financial dimension as an additional source of firm heterogeneity to understand export market participation, and examine how the impact of leverage on firms’ exporting decisions varies depending on financial constraints, using a panel of 3353 Korean manufacturing firms over the period 1994–2011. We find that leverage for financially-constrained firms is negatively associated with the probability of exporting while leverage for financially-unconstrained is not. Also, we find that in the sample of financially-constrained firms, future exporters have higher leverage before they begin to export, while in the sample of financially-unconstrained firms, firms with ex-ante lower leverage self-select to export.
    Keywords: exports, firm heterogeneity, financial constraints, leverage
    Date: 2016–04–28
  9. By: Núñez-Rocha, Thaís; Martínez-Zarzoso, Inmaculada
    Abstract: This paper is the first to estimate the effect of two international agreements (Rotterdam Convention, RC, and the Stockholm Convention, SC) in reducing trade in hazardous substances. We estimate the effects of ratification of these agreements on imports of the affected products putting emphasis in the flows from developed countries (OECD) to developing countries (non-OECD) to capture pollution deviation. We use product level data to identify the goods subject to the conventions and the identification strategy relies on the use of difference-in-difference techniques in a panel data framework. We find that when the exporter ratifies the RC and the flow is from OECD to non-OECD countries, a significant reduction of imports in hazardous chemicals is observed after ratification. The magnitude of the effect is a cumulative decrease in imports of about 7 percent. In the case of the SC, the results show significant reductions in trade shipments from OECD to non-OECD countries in persistent organic pollutants for non-OECD importers that have ratified the convention. We observe a reduction of around 16 percent, more than double the effect found for the RC, which was expected due to the different obligations imposed by the respective conventions.
    Keywords: hazardous chemicals,persistent organic pollutants,environmental agreements,international trade,gravity model
    JEL: F13 F14 F18 Q53 Q56 Q58
    Date: 2018
  10. By: Sharon Traiberman (Princeton)
    Abstract: There is a growing concern that many workers do not share in the gains from trade. In this paper, I argue that occupational reallocation plays a crucial role in determining the winners and losers from trade liberalization: what specific workers do \emph{within} an industry or a firm matters. Adjustment to trade liberalization can be protracted and costly, especially when workers need to switch occupations. To quantify these effects, I build and estimate a dynamic model of the Danish labor market. The model features nearly forty occupations, complicating estimation. To reduce dimensionality I project occupations onto a lower-dimensional task space. This parameter reduction coupled with conditional choice probability techniques yields a tractable nonlinear least squares problem. I find that for the median worker, a 1% decrease in income, holding the income in other occupations fixed, raises the probability of switching occupations by .3%. However, adjustment frictions can be large---on the order of five years of income---so that workers tend to move in a narrow band of similar occupations. To quantify the importance of these forces for understanding import competition, I simulate the economy with and without observed changes in import prices. In the short-run, import competition can cost workers up to one half percent of lifetime earnings. Moreover, the variance in earnings outcomes is twice the size of the total gains from trade.
    Date: 2017
  11. By: Robert C. Feenstra; Akira Sasahara
    Abstract: We quantify the impact on U.S. employment from imports and exports during 1995-2011, using the World Input-Output Database. We find that the growth in U.S. exports led to increased demand for 2 million jobs in manufacturing, 0.5 million in resource industries, and a remarkable 4.1 million jobs in services, totaling 6.6 million. One-third of those service sector jobs are due to the intermediate demand from merchandise (manufacturing and resource) exports, so the total labor demand gain due to merchandise exports was 3.7 million jobs. In comparison, U.S. merchandise imports from China led to reduced demand of 1.4 million jobs in manufacturing and 0.6 million in services (with small losses in resource industries), with total job losses of 2.0 million. It follows that the expansion in U.S. merchandise exports to the world relative to imports from China over 1995-2011 created net demand for about 1.7 million jobs. Comparing the growth of U.S. merchandise exports to merchandise imports from all countries, we find a fall in net labor demand due to trade, but comparing the growth of total U.S. exports to total imports from all countries, then there is a rise in net labor demand because of the growth in service exports.
    JEL: F14 O19
    Date: 2017–11
  12. By: Pol Antràs; Davin Chor
    Abstract: This paper offers four contributions to the empirical literature on global value chains (GVCs). First, we provide a succinct overview of several measures developed to capture the upstreamness or downstreamness of industries and countries in GVCs. Second, we employ data from the World Input-Output Database (WIOD) to document the empirical evolution of these measures over the period 1995-2011; in doing so, we highlight salient patterns related to countries’ GVC positioning – as well as some puzzling correlations – that emerge from the data. Third, we develop a theoretical framework – which builds on Caliendo and Parro’s (2015) variant of the Eaton and Kortum (2002) model – that provides a structural interpretation of all the entries of the WIOD in a given year. Fourth, we resort to a calibrated version of the model to perform counterfactual exercises that: (i) sharpen our understanding of the independent effect of several factors in explaining the observed empirical patterns in the period 1995-2011; and (ii) provide guidance for how future changes in the world economy are likely to shape the positioning of countries in GVCs.
    JEL: D5 F1 F2
    Date: 2018–01
  13. By: Eddy Bekkers (The Vienna Institute for International Economic Studies, wiiw); Michael Landesmann (The Vienna Institute for International Economic Studies, wiiw); Indre Macskasi
    Abstract: We infer sectoral productivity from trade and production data and test the hypothesis that technological catch-up is slower in tacit knowledge intensive sectors, operationalised by measures of complex task intensity. Furthermore, we examine whether catch-up is slower in sectors with a large skill intensity, a high degree of export sophistication and high income elasticity. Employing Comtrade and UNIDO data between 1960 and 2000 covering manufacturing sectors, we find that catch-up is slower in more tacit knowledge intensive sectors, as well as in skill intensive and export sophisticated sectors. With more recent data from 1997 to 2011 from GTAP we find instead that catch-up is faster in more tacit knowledge intensive manufacturing sectors, whereas catch-up is slower in more tacit knowledge intensive services sectors. Catch-up is consistently faster in income elastic sectors, both for manufacturing and services.
    Keywords: sectoral TFP, tacit knowledge, technological catch-up
    JEL: F14 F43 I25
    Date: 2017–12
  14. By: Pieterse, Marius
    Abstract: SECO Working Paper 22/2017 by Marius Pieterse
    Abstract: While both international trade law and regional trade agreements in the SADC region are typically focused on nation states, it is cities that produce the bulk of economic goods and services in the region and that, in effect, are the main actors in terms of trade agreements. Similarly, regional trade is facilitated by inter-city infrastructure, connectivity, transport routes and so forth. Indeed, both formal and informal trade in the region predominantly take place on an inter-city level, yet this is seldom perceived or structured by applicable legal regimes. Changes in the legal and/or regulatory landscape in one city may thus have regional trade implications across the region, without these visibly triggering international or regional trade laws or agreements.
    Date: 2018–01–09
  15. By: Juan Esteban Carranza (Banco de la República de Colombia); Alejandra González-Ramírez (Banco de la República de Colombia); Alex Pérez (Banco de la República de Colombia)
    Abstract: In this paper we describe the relationship between the quality of goods and inputs of Colombian manufacturing firms and the income level of their export markets. We show that there is a positive correlation between measures of product and input quality and measures of per capita income of export markets. These findings are consistent with the recent literature on the demand and supply of quality, and with evidence for other countries. Classification JEL: F14, L6
    Keywords: Quality of Products, Quality of Inputs, Wages, Income of Countries
    Date: 2018–01
  16. By: Colin Hottman; Ryan Monarch
    Abstract: Using supplier-level trade data, we estimate the effect on consumer welfare from changes in U.S. imports both in the aggregate and for different household income groups from 1998 to 2014. To do this, we use consumer preferences which feature non-homotheticity both within sectors and across sectors. After structurally estimating the parameters of the model, using the universe of U.S. goods imports, we construct import price indexes in which a variety is defined as a foreign establishment producing an HS10 product that is exported to the United States. We find that lower income households experienced the most import price inflation, while higher income households experienced the least import price inflation during our time period. Thus, we do not find evidence that the consumption channel has mitigated the distributional effects of trade that have occurred through the nominal income channel in the United States over the past two decades.
    Keywords: Import price index ; Non-homotheticity ; Real income inequality ; Product variety ; Markups
    JEL: D12 E31 F14
    Date: 2018–01–17
  17. By: Jirjahn, Uwe (University of Trier)
    Abstract: From a theoretical viewpoint the relationship between foreign ownership and unionization is ambiguous. On the one hand, foreign owners have better opportunities to undermine workers' unionization. On the other hand, workers of foreign-owned firms have an increased demand for the protection provided by unions. Which of the two opposing influences dominates can vary according to moderating circumstances. This study shows that firm size and industry-level bargaining play a moderating role. The relationship between foreign ownership and unionization is negative in larger firms whereas it is positive in smaller firms. Coverage by industry-level collective bargaining makes a positive relationship both stronger and more likely.
    Keywords: corporate globalization, foreign direct investment, union membership, firm size, centralized collective bargaining
    JEL: F23 J51 J52
    Date: 2017–11
  18. By: Kovak, Brian K.; Oldenski, Lindsay; Sly, Nicholas (Federal Reserve Bank of Kansas City)
    Abstract: Estimating the causal effect of offshoring on domestic employment is difficult because of the inherent simultaneity of multinational firms’ domestic and foreign affiliate employment decisions. In this paper, we resolve this identification problem using variation in Bilateral Tax Treaties (BTTs), which reduce the effective cost of offshore activity by mitigating double taxation. We derive a panel difference-in-differences research design from a standard model of multinational firms, demonstrating the simultaneity problem and showing how to resolve it using BTTs as an instrument for offshore employment. We confirm that new treaty implementation is uncorrelated with existing employment trends, and use Bureau of Economic Analysis data on U.S. multinational firms to measure the domestic employment effects of offshore activity. {{p}} Overall, we find modest positive effects of offshore activity on domestic employment. A 10 percent BTT induced increase in affiliate employment drives a 1.8 percent increase in employment at the U.S. parent firm, with smaller effects at the industry and regional levels. Underlying these results is substantial heterogeneity based on offshoring margin and firm organizational structure. For example, increased foreign affiliate activity in vertically oriented multinational firms drives declining employment among non-multinationals in the same industry, and multinational firms opening new affiliates exhibit much smaller domestic employment growth than those expanding existing affiliates. Throughout the analysis, OLS estimates are much larger than the IV estimates, consistent with upward simultaneity bias. Overall, our results indicate that greater offshore activity raises net employment by U.S. firms, albeit with underlying job loss and reallocation of workers.
    Keywords: Offshoring; Employment; FDI; Multinational Firms
    JEL: F16 F23 J20 J30
    Date: 2017–12–20
  19. By: Yoshiaki Nakada
    Abstract: Batra and Casas (1976) claimed that 'a strong Rybczynski result' arises in the three-factor two-good general equilibrium trade model. In subsequent comments, Suzuki (1983) contended that this could not be the case. Among his comments, Suzuki found that the set of three equations holds for the Allen-partial elasticity of substitution under the assumption of perfect complementarity, and he applied these to his analysis. In the following, I demonstrate that these are impossible, hence his dissenting proof is not plausible.
    Date: 2017–11
  20. By: Lee , Jae-Young (Korea Institute for International Economic Policy); Lee , Cheol-Won (Korea Institute for International Economic Policy); Min , Jiyoung (Korea Institute for International Economic Policy)
    Abstract: This study proposes to lay the foundation for economic cooperation and expand industrial cooperation. The following four measures are the keys to create an institutional base for economic cooperation. First, it will be critical to conclude a Korea-EAEU FTA. Such an FTA would provide a new concept for strategic cooperation in the so-called "Eurasian value-chain system," as well as in the new Eurasian growth space. It will be a window of opportunity for the Eurasian region to establish significant links with Korea, and to bring the APEC region closer to Russia. Second, utilizing the Korea-Russia investment platform when entering the EAEU market is an important element. The Korea-Russia investment platform created in 2013 has not been utilized at all up to now. Through discussion with Russia, it will be necessary to adjust the investment destinations, industries, methods, and scope of cooperation to employ the platform. In this way, the platform can be expanded and become more useful and effective. Third, designing investment package support programs for SMEs is another significant measure. Overseas investment by SMEs will be important in building a foundation for cooperation with the EAEU when considering the economic complementarity of the two sides. Such collaboration is possible due to the EAEU’s demand for modernization in its manufacturing sector. Job creation and competitiveness improvement could be realized through the sophistication and internationalization of Korean SMEs. Fourth, it will be necessary to establish a "graduate school for Eurasian policy." When the agenda of strengthening cooperation with Russia and the northern countries is incorporated into Korea's mid- and long-term international strategy, it will become an urgent task to build a human resources nurturing system. Thus the founding of such a graduate school should be seriously considered. Given Russia's growing political and economic presence in the international community, it is necessary to train elite talent to deal with issues regarding the EAEU. In order to lay the institutional foundation, a close cooperation between the two sides is significant, perhaps by reorganizing or newly launching channels under the governments. Also necessary will be an organization that is mainly dedicated to Eurasian issues. Most importantly, embarking on negotiations for a Korea-EAEU FTA should come first to promote investment between Korea and the EAEU. Members of the EAEU think that the Korea–EAEU FTA has to extend beyond the scope of conventional FTAs. Bilateral industrial cooperation stimulated by Korea's investment must be included and enhanced. To enable Korea-EAEU FTA negotiations to commence, an "investment promotion committee" should be formed and the needs of EAEU member states must be discussed. At the same time, it will be necessary to establish a "northern cooperation fund" which supports SMEs to enter the EAEU market under the Ministry of Strategy and Finance. The positive effects that a Korea-EAEU FTA would have on investment should be communicated through a number of regular investment forums. Constructing industrial zones and discovering the investment promising sectors in the EAEU will have to take place as well. In particular, industrial complexes jointly planned by the two sides will help Korean enterprises to enter the EAEU market. For this, additional studies on the conditions of possible industrial zones and specialized industries should be carried out. Investment promising sectors have to be detected through an analysis of industrial competitiveness, policies and investment climate.
    Keywords: EAEU; Investment Climate; Economic Cooperation
    Date: 2018–01–08
  21. By: Caroline Hambye; Bart Hertveldt; Bernhard Klaus Michel
    Abstract: The traditional attribution of responsibility for greenhouse gas (GHG) emissions to producing countries may be distorted by international trade flows as importing emission-intensive commodities contributes to reducing a country's production-based emissions. This has motivated the calculation of carbon footprints that measure the amount of domestic and foreign GHG emissions (directly and indirectly) embodied in commodities intended for final consumption by a country's residents. In thisworking paper, we present carbon footprint estimations for Belgium based on global multi-regional input-output (MRIO) tables that have been made consistent with detailed Belgian national accounts. According to our calculations, Belgium's carbon footprint is substantially higher than its productionbased emissions, which means that Belgium is a net importer of GHG emissions. Moreover, our results show that consistency with detailed national accounts does matter for MRIO-based carbon footprint calculations, in particular for a small open economy like Belgium.
    Keywords: Carbon footprint, Consumption-based Emission Accounting, Global Multi-Regional Input- Output Tables
    JEL: Q54 Q56 F18 C67
    Date: 2017–09–28
  22. By: Anda David (Agence Française de Développement); Mohamed Ali Marouani
    Abstract: This paper focuses on the emigration’s effects on non-migrants and particularly on the interactions with labor market outcomes in Tunisia before and after the revolution. We conduct an in-depth analysis of the structure and dynamics of migration including the migrants’ profile and their origin households, mainly in terms of skills and spatial composition. Our analysis confirms the role of emigration as a security valve for the Tunisian labor market. It also tends to confirm the effects of remittances on non-migrants’ labor supply, which can have a negative impact on Tunisia’s unemployment rate when a crisis in destination countries lowers remittances.
    Date: 2017–12–14
  23. By: Audi, Marc; Ali, Amjad
    Abstract: Trade liberalization plays a significant role in the development of an economy as all countries have insufficient resources and depend on trade to grow and prosper. The key objective of this study is to explore the relationship of trade liberalization on women empowerment. It also aims to find out whether it is beneficial for gender gap or not. This study utilizes the sample of five SAARC countries for the time period of 15 years, that is, from 2000 to 2014. It emphasizes on tariffs and regulatory trade barriers, which are considered significant indicators of trade liberalization, along with the freedom of trade, that is a composite index. The gender gap is measured through the female to male participation rate, whereas, gender development index(GDI) is used as a relative measure of women empowerment after adjusting HDI for gender disparity in three dimensions. The other control variable incorporated in this study includes: gross domestic product growth, education of female, female unemployment rate and the hiring regulations & minimum wage standards. The econometric technique applied is the pooled ordinary least squares (OLS) method along with various diagnostic tests. When trade liberalization goes up, it increases the GDI, meaning lower gender disparity, which in turn refers to greater women empowerment. The research concludes that whenever the trade liberalization increases, it does not reduce the gender gap, which means the female to male participation rate goes down. It encourages women to actively participate in the labor market, but it does not play a role in reducing gender gap. Education of female is essential because it creates awareness among girls and enhances their skills, which leads to empowering women, making them self-sufficient and active participants in the economic activity, which can improve their standard of living.
    Keywords: gender gap, trade liberaliztion
    JEL: J1 O24
    Date: 2016–04
  24. By: gebregergis, Cherkos Meaza
    Abstract: Nowadays the issue of globalization has received huge attention from researchers in different areas for the fact that we always hear about it but there exists little evidences of convergences. While some researchers argue pro globalization others pointed out the costs of globalization being outweighs its benefits and it fails to meet its potentials of benefiting both developing and developed world. This study has attempted to investigate the economic impact of globalization on Ethiopia using the annual data covering from 1980 to 2015 and by employing a co-integration analysis. The empirical result revealed that economic growth of Ethiopia is being affected by globalization both in the short-run and long-run. Thus economic growth and globalization have a long-run relationship which is found to be both positive and significant. Therefore, Ethiopia can be benefited more provided that if the economy of country is integrated and opened to competitions from the rest of the world.
    Keywords: Co-Integration Analysis, ECM, Economic Growth, FDI, Globalization, Trade Openness
    JEL: F13 F15
    Date: 2017–09–30
  25. By: Lee, Neil; Morris, Katy; Kemeny, Thomas
    Abstract: Popular explanations of the Brexit vote have centred on the division between cosmopolitan internationalists who voted Remain, and geographically rooted individuals who voted Leave. In this paper, we conduct the first empirical test of whether residential immobility – the concept underpinning this distinction – was an important variable in the Brexit vote. We find that locally rooted individuals – defined as those living in their county of birth – were 7 percent more likely to vote Leave. However, the impact of immobility was filtered by local circumstances: immobility only mattered for respondents in areas experiencing relative economic decline or increases in migrant populations
    Keywords: Brexit; globalisation; mobility; populism
    JEL: D72 J61 R23
    Date: 2018–01–04

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