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Comparative Advantage, Trade and Labour Standards

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  • Matthias Busse

    ()
    (HWWA - Institute of International Economics)

Abstract

This paper empirically explores the relationship between labour standards and comparative advantage. Focusing on unskilled-labour-intensive goods and core labour standards, the results show that the effects of low standards depend on the type of standard: Weaker basic union rights are associated with a stronger comparative advantage. Forced and child labour also lead to an increase in the endowment of unskilled labour, and hence improve comparative advantage in unskilled-labour-intensive goods the opposite occurs with discrimination against females.

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File URL: http://www.accessecon.com/pubs/EB/2002/Volume6/EB-02F10002A.pdf
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Article provided by AccessEcon in its journal Economics Bulletin.

Volume (Year): 6 (2002)
Issue (Month): 2 ()
Pages: 1-8

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Handle: RePEc:ebl:ecbull:eb-02f10002

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  1. Martin, Will & Maskus, Keith E, 2001. "Core Labor Standards and Competitiveness: Implications for Global Trade Policy," Review of International Economics, Wiley Blackwell, Wiley Blackwell, vol. 9(2), pages 317-28, May.
  2. Jai S. Mah, 1997. "Core Labour Standards and Export Performance in Developing Countries," The World Economy, Wiley Blackwell, Wiley Blackwell, vol. 20(6), pages 773-785, 09.
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