English, Article edition: DOES TRADE IN INTERMEDIATE GOODS INCREASE OR DECREASE WAGE INEQUALITY? WENLI CHENG; DINGSHENG ZHANG

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Physical Description
  • article
Language
  • English

Edition details

Title
  • DOES TRADE IN INTERMEDIATE GOODS INCREASE OR DECREASE WAGE INEQUALITY?
Author
  • WENLI CHENG
  • DINGSHENG ZHANG
Physical Description
  • article
Notes
  • This paper develops two models to study the impact of trade in intermediate goods on wage inequality between skilled and unskilled labor in a developed country and a developing country. The first model assumes symmetric production technologies in the intermediate good. It predicts that trade in the intermediate good will increase wage inequality in the developed country, but decrease wage inequality in the developing country. The second model assumes asymmetric technologies in the intermediate good. It predicts that trade in the intermediate good can lead to an increase in wage inequality in both the developed country and the developing country.
  • Wage inequality, outsourcing, developing countries
  • RePEc:wsi:serxxx:v:52:y:2007:i:02:p:201-213
Language
  • English
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