This file is part of IDEAS , which uses RePEc data
[ Papers |
Articles |
Software |
Books |
Chapters |
Authors |
Institutions |
JEL Classification |
NEP reports |
Search |
New papers by email |
Author registration |
Rankings |
Volunteers |
FAQ |
Blog |
Help! ]
Foreign Competition and Wage Inequality Author info | Abstract | Publisher info | Download info | Related research | Statistics Neary, J Peter
Additional information is available for the following
registered author(s):
I argue that increased foreign competition can affect technical choice and skill differentials even when actual imports do not rise significantly. I present a model of General Oligopolistic Equilibrium (‘GOLE’) in which a reduction in import barriers (whether technological or policy-imposed) encourages more strategic investment by incumbent firms. The predictions accord with many of the stylised facts: higher skill premia; higher ratios of skilled to unskilled workers employed in all sectors and throughout the economy; little change in import volumes or prices; and rapid technological progress with rather little change in total factor productivity.
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
file . Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
3420.
Download reference. The following formats are available: HTML ,
plain text ,
BibTeX ,
RIS (EndNote),
ReDIF
Length:
Date of creation: Jun 2002Date of revision:
Handle: RePEc:cpr:ceprdp:3420Contact details of provider: Postal: Centre for Economic Policy Research, 53--56 Great Sutton Street, London EC1V 0DG Phone: 44 - 20 - 7183 8801 Fax: 44 - 20 - 7183 8820
Order Information: Email:
For technical questions regarding this item, or to correct its listing, contact: ().
Keywords: general oligopolistic equilibrium (GOLE) skill premia skill-based technical progress strategic investment trade and wages Other versions of this item:
Find related papers by JEL classification: F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies F16 - International Economics - - Trade - - - Trade and Labor Market Interactions J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports :
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.: Volker Nocke, 2000.
"Monopolisation and Industry Structure ,"
Econometric Society World Congress 2000 Contributed Papers
0429, Econometric Society.
[Downloadable!]
Hylke Vandenbussche & Jozef Konings, 1998.
"Globalisation and the Effects of National Versus International Competition on the Labour Market: Theory and Evidence from Belgian Firm Level Data ,"
The World Economy ,
Blackwell Publishing, vol. 21(8), pages 1151-1177, November.
[Downloadable!] (restricted)
Other versions: Greenaway, David & Hine, Robert C. & Wright, Peter, 1999.
"An empirical assessment of the impact of trade on employment in the United Kingdom ,"
European Journal of Political Economy ,
Elsevier, vol. 15(3), pages 485-500, September.
[Downloadable!] (restricted)
J. Peter Neary, 2001.
"Of Hype and Hyperbolas: Introducing the New Economic Geography ,"
Journal of Economic Literature ,
American Economic Association, vol. 39(2), pages 536-561, June.
[Downloadable!] (restricted)
Leahy, Dermot & Neary, J Peter, 1996.
"International R&D Rivalry and Industrial Strategy without Government Commitment ,"
Review of International Economics ,
Blackwell Publishing, vol. 4(3), pages 322-38, October.
Other versions: Anthony B. Atkinson, 2000.
"The Changing Distribution of Income: Evidence and Explanations ,"
German Economic Review ,
Blackwell Publishing, vol. 1(1), pages 3-18, 02.
[Downloadable!] (restricted)
Spencer, Barbara J & Brander, James A, 1983.
"International R & D Rivalry and Industrial Strategy ,"
Review of Economic Studies ,
Blackwell Publishing, vol. 50(4), pages 707-22, October.
[Downloadable!] (restricted)
Other versions: Robert C. Feenstra & Gordon H. Hanson, 1996.
"Globalization, Outsourcing, and Wage Inequality ,"
NBER Working Papers
5424, National Bureau of Economic Research, Inc.
[Downloadable!] (restricted)
Other versions:
Feenstra, Robert C & Hanson, Gordon H, 1996.
"Globalization, Outsourcing, and Wage Inequality ,"
American Economic Review ,
American Economic Association, vol. 86(2), pages 240-45, May.
[Downloadable!] (restricted) Mathias Thoenig, 2000.
"Trade Induced Technical Bias and Wage Inequalities: A Theory of Defensive Innovation ,"
Econometric Society World Congress 2000 Contributed Papers
1931, Econometric Society.
[Downloadable!]
Other versions:
Thoenig, M. & Verdier, T., 2000.
"Trade Induced Technical Bias and Wage Inequalities: a Theory of Defensive Innovation ,"
DELTA Working Papers
2000-02, DELTA (Ecole normale supérieure).
Thoenig, Mathias & Verdier, Thierry, 2000.
"Trade Induced Technical Bias And Wage Inequalities: A Theory Of Defensive Innovations ,"
CEPR Discussion Papers
2401, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted) Dixit, Avinash, 1980.
"The Role of Investment in Entry-Deterrence ,"
Economic Journal ,
Royal Economic Society, vol. 90(357), pages 95-106, March.
[Downloadable!] (restricted)
Other versions: Ekholm, Karolina & Midelfart, Karen Helene, 2005.
"Relative wages and trade-induced changes in technology ,"
European Economic Review ,
Elsevier, vol. 49(6), pages 1637-1663, August.
[Downloadable!] (restricted)
Other versions: Davis, Donald R, 1998.
"Does European Unemployment Prop Up American Wages? National Labor Markets and Global Trade ,"
American Economic Review ,
American Economic Association, vol. 88(3), pages 478-94, June.
[Downloadable!] (restricted)
Daron Acemoglu, 1999.
"Patterns of Skill Premia ,"
NBER Working Papers
7018, National Bureau of Economic Research, Inc.
[Downloadable!] (restricted)
Other versions: Desjonqueres, Thibaut & Machin, Stephen & Van Reenen, John, 1999.
" Another Nail in the Coffin? Or Can the Trade Based Explanation of Changing Skill Structures Be Resurrected? ,"
Scandinavian Journal of Economics ,
Blackwell Publishing, vol. 101(4), pages 533-54, December.
[Downloadable!] (restricted)
Ronald W. Jones, 1997.
"Trade, Technology and Income Distribution ,"
Indian Economic Review ,
Department of Economics, Delhi School of Economics, vol. 32(2), pages 129-140, July.
Brander, James A., 1981.
"Intra-industry trade in identical commodities ,"
Journal of International Economics ,
Elsevier, vol. 11(1), pages 1-14, February.
[Downloadable!] (restricted)
Other versions: Cordella, Tito & J. Gabszewicz, Jean, 1997.
"Comparative advantage under oligopoly ,"
Journal of International Economics ,
Elsevier, vol. 43(3-4), pages 333-346, November.
[Downloadable!] (restricted)
Other versions: Krugman, Paul R., 2000.
"Technology, trade and factor prices ,"
Journal of International Economics ,
Elsevier, vol. 50(1), pages 51-71, February.
[Downloadable!] (restricted)
Other versions: Elias Dinopoulos & Paul Segerstrom, 1999.
"A Schumpeterian Model of Protection and Relative Wages ,"
American Economic Review ,
American Economic Association, vol. 89(3), pages 450-472, June.
[Downloadable!] (restricted)
Jaskold Gabszewicz, Jean & Vial, Jean-Philippe, 1972.
"Oligopoly "A la cournot" in a general equilibrium analysis ,"
Journal of Economic Theory ,
Elsevier, vol. 4(3), pages 381-400, June.
[Downloadable!] (restricted)
Fudenberg, Drew & Tirole, Jean, 1984.
"The Fat-Cat Effect, the Puppy-Dog Ploy, and the Lean and Hungry Look ,"
American Economic Review ,
American Economic Association, vol. 74(2), pages 361-66, May.
[Downloadable!] (restricted)
Full
references Cited by : (explanations , Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.)
Ioannis Cholezas & Panos Tsakloglou, 2007.
"Earnings Inequality in Europe: Structure and Patterns of Inter-Temporal Changes ,"
IZA Discussion Papers
2636, Institute for the Study of Labor (IZA).
[Downloadable!]
Paolo Epifani & Gino Gancia, 2004.
"The Skill Bias of World Trade ,"
Economics Working Papers
833, Department of Economics and Business, Universitat Pompeu Fabra, revised Mar 2007.
[Downloadable!]
Other versions:
Paolo Epifani & Gino Gancia, 2002.
"The Skill Bias of World Trade ,"
CESPRI Working Papers
129, CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy, revised Mar 2001.
[Downloadable!] Epifani, Paolo & Gancia, Gino, 2002.
"The Skill Bias of World Trade ,"
Seminar Papers
707, Stockholm University, Institute for International Economic Studies.
[Downloadable!] Paolo Epifani & Gino Gancia, 2008.
"The Skill Bias of World Trade ,"
Economic Journal ,
Royal Economic Society, vol. 118(530), pages 927-960, 07.
[Downloadable!] (restricted) Paolo Figini & Holger Görg, 2006.
"Does Foreign Direct Investment Affect Wage Inequality? An Empirical Investigation ,"
IZA Discussion Papers
2336, Institute for the Study of Labor (IZA).
[Downloadable!]
Other versions: Chi-Chur Chao & Bharat Hazari & Eden Yu, 2006.
"Rising wage inequality in developing economies: Privatization and competition ,"
Journal of International Trade & Economic Development ,
Taylor and Francis Journals, vol. 15(3), pages 375-385, September.
[Downloadable!] (restricted)
Norbäck, Pehr-Johan & Persson, Lars, 2003.
"Privatization and Restructuring in Concentrated Markets ,"
Working Paper Series
605, Research Institute of Industrial Economics.
[Downloadable!]
Other versions: Neary, J Peter, 2002.
"Foreign Direct Investment and the Single Market ,"
CEPR Discussion Papers
3419, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
Other versions: J.Peter Neary, 2003.
"Globalisation and Market Structure ,"
DNB Staff Reports (discontinued)
100, Netherlands Central Bank.
[Downloadable!]
Norbäck, Pehr-Johan & Persson, Lars, 2007.
"Globalization and Profitability of Cross-border Mergers & Acquisitions ,"
CEPR Discussion Papers
6102, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
Bertrand Crettez & Marie-Cécile Fagart, 2008.
"Does entry improve welfare? A general equilibrium approach to competition policy ,"
EconomiX Working Papers
2008-14, University of Paris West - Nanterre la Défense, EconomiX.
[Downloadable!]
Lommerud, Kjell Erik & Sørgard, Lars & Straume, Odd Rune, 2003.
"National versus International Mergers in Unionised Oligopoly ,"
CEPR Discussion Papers
4040, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
Other versions: Sebastian Braun, 2006.
"Trade Liberalisation, Process and Product Innovation, and Relative Skill Demand ,"
JEPS Working Papers
06-004, JEPS.
[Downloadable!]
Other versions: Dermot Leahy & J. Peter Neary, 2007.
"Multilateral Subsidy Games ,"
Economics Series Working Papers
346, University of Oxford, Department of Economics.
[Downloadable!]
Other versions: Klaus Wälde & Pia Weiss, 2004.
"International Competition, Slim Firms and Wage Inequality ,"
CESifo Working Paper Series
CESifo Working Paper No. , CESifo GmbH.
[Downloadable!]
Pehr-Johan Norbäck & Lars Persson, 2008.
"Globalization and profitability of cross-border mergers and acquisitions ,"
Economic Theory ,
Springer, vol. 35(2), pages 241-266, May.
[Downloadable!] (restricted)
Norbäck, Pehr-Johan & Persson, Lars, 2006.
"The Organization of the Innovation Industry: Entrepreneurs, Venture Capitalists and Oligopolists ,"
CEPR Discussion Papers
5449, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
Other versions: Norbäck, Pehr-Johan & Persson, Lars & Vlachos, Jonas, 2006.
"Cross-Border Acquisitions and Corporate Taxes: Efficiency and Tax Revenues ,"
Working Paper Series
663, Research Institute of Industrial Economics.
[Downloadable!]
Paolo Epifani & Gino Gancia, 2004.
"Increasing Returns, Imperfect Competition and Factor Prices ,"
Economics Working Papers
953, Department of Economics and Business, Universitat Pompeu Fabra, revised Oct 2005.
[Downloadable!]
Other versions: Norbäck, Pehr-Johan & Persson, Lars, 2005.
"Investment Liberalization - Why a Restrictive Cross-Border Merger Policy can be Counterproductive ,"
Working Paper Series
644, Research Institute of Industrial Economics.
[Downloadable!]
Other versions:
Norbäck, Pehr-Johan & Persson, Lars, 2006.
"Investment Lilberalization - Why a Restrictive Cross-Border Merger Policy can be Counterproductive ,"
Working Paper Series
666, Research Institute of Industrial Economics.
[Downloadable!] Norback, Pehr-Johan & Persson, Lars, 2007.
"Investment liberalization -- Why a restrictive cross-border merger policy can be counterproductive ,"
Journal of International Economics ,
Elsevier, vol. 72(2), pages 366-380, July.
[Downloadable!] (restricted) Lommerud, Kjell Erik & Meland, Frode & Straume, Odd Rune, 2005.
"Globalization and Union Opposition to Technological Change ,"
CEPR Discussion Papers
4836, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
Other versions:
Kjell Lommerud & Frode Meland & Odd Rune Straume, 2004.
"Globalisation And Union Opposition To Technological Change ,"
Royal Economic Society Annual Conference 2004
49, Royal Economic Society.
[Downloadable!] Lommerud, Kjell Erik & Meland, Frode & Rune Straume, Odd, 2006.
"Globalisation and union opposition to technological change ,"
Journal of International Economics ,
Elsevier, vol. 68(1), pages 1-23, January.
[Downloadable!] (restricted)
Access and
download statistics Did you know? RePEc also has a blog .
This page was last updated on 2008-8-19.
This information is provided to you by IDEAS at the Department of Economics , College of Liberal Arts and Sciences , University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics .