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Does Trade Adjustment Assistance Help Trade‐Displaced Workers?

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  • LE Marcal

Abstract

The federal Trade Adjustment Assistance (TAA) program was designed to aid workers who have lost their jobs because of increased import competition. Linear earnings functions provide little evidence that the TAA program increases the subsequent wages of its participants over comparable unemployment insurance (UI) exhaustees. However, adjusting for time spent training, TAA trainees were employed more than comparable nontrainees.

Suggested Citation

  • LE Marcal, 2001. "Does Trade Adjustment Assistance Help Trade‐Displaced Workers?," Contemporary Economic Policy, Western Economic Association International, vol. 19(1), pages 59-72, January.
  • Handle: RePEc:bla:coecpo:v:19:y:2001:i:1:p:59-72
    DOI: 10.1111/j.1465-7287.2001.tb00050.x
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    References listed on IDEAS

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    7. William J. Carrington, 1993. "Wage Losses for Displaced Workers: Is It Really the Firm That Matters?," Journal of Human Resources, University of Wisconsin Press, vol. 28(3), pages 435-462.
    8. Paul T. Decker & Walter Corson, 1995. "International Trade and Worker Displacement: Evaluation of the Trade Adjustment Assistance Program," ILR Review, Cornell University, ILR School, vol. 48(4), pages 758-774, July.
    9. G. S. Maddala & Lung-Fei Lee, 1976. "Recursive Models with Qualitative Endogenous Variables," NBER Chapters, in: Annals of Economic and Social Measurement, Volume 5, number 4, pages 525-545, National Bureau of Economic Research, Inc.
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. What good is trade adjustment assistance?
      by jdingel in Trade Diversion on 2012-04-16 17:34:06

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    Cited by:

    1. Christopher Laincz & Xenia Matschke & Yoto V. Yotov, 2021. "Policy and politics: Trade adjustment assistance in the crossfire," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 54(2), pages 760-792, May.
    2. David S. Kaplan & Raymond Robertson & Gabriel Martínez González, 2005. "What Happens to Wages after Displacement?," Economía Journal, The Latin American and Caribbean Economic Association - LACEA, vol. 0(Spring 20), pages 197-242, January.
    3. Justin Barnette & Jooyoun Park, 2017. "Increases in Local Unemployment and the Delivery of Trade Adjustment Assistance Services," Economic Development Quarterly, , vol. 31(1), pages 3-24, February.
    4. James N. Giordano, 2017. "Job Training Subsidies, Reemployment and Earnings in the Trade Adjustment Assistance Program," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 23(3), pages 283-293, August.
    5. Justin Barnette & Jooyoun Park, 2021. "Skill Overshooting in Job Training With the Trade Adjustment Assistance Program," Economic Development Quarterly, , vol. 35(2), pages 141-156, May.
    6. Fackler, Daniel & Stegmaier, Jens & Weigt, Eva, 2019. "Does extended unemployment benefit duration ameliorate the negative employment effects of job loss?," Labour Economics, Elsevier, vol. 59(C), pages 123-138.
    7. Katherine Baicker & Marit M. Rehavi, 2004. "Policy Watch: Trade Adjustment Assistance," Journal of Economic Perspectives, American Economic Association, vol. 18(2), pages 239-255, Spring.
    8. Cletus C. Coughlin, 2002. "The controversy over free trade: the gap between economists and the general public," Review, Federal Reserve Bank of St. Louis, vol. 84(Jan.), pages 1-22.
    9. Park, Jooyoun & Reynolds, C.L. & Rohlin, Shawn M., 2014. "The impact of import-related displacement on local business activity," Regional Science and Urban Economics, Elsevier, vol. 48(C), pages 94-109.

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