A mapping of labor mobility costs in developing countries
AbstractEstimates of labor mobility costs are needed to assess the responses of employment and wages to trade shocks when factor adjustment is costly. Available methods to estimate those costs rely on panel data, which are seldom available in developing countries. The authors propose a method to estimate mobility costs using readily obtainable data worldwide. The estimator matches the changes in observed sectoral employment allocations with the predicted allocations from a model of costly labor adjustment. This paper estimates a world map of labor mobility costs and uses those estimates to explore the response of labor markets to trade policy.
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Bibliographic InfoPaper provided by The World Bank in its series Policy Research Working Paper Series with number 6556.
Date of creation: 01 Aug 2013
Date of revision:
Labor Markets; Labor Policies; Economic Theory&Research; Work&Working Conditions; Labor Management and Relations;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-08-10 (All new papers)
- NEP-DEV-2013-08-10 (Development)
- NEP-LAB-2013-08-10 (Labour Economics)
- NEP-LTV-2013-08-10 (Unemployment, Inequality & Poverty)
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