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The Geography of Trade and Technology Shocks in the United States

Author

Listed:
  • David H. Autor
  • David Dorn
  • Gordon H. Hanson

Abstract

This paper explores the geographic overlap of trade and technology shocks across local labor markets in the United States. Regional exposure to technological change, as measured by specialization in routine task-intensive production and clerical occupations, is largely uncorrelated with regional exposure to trade competition from China. While the impacts of technology are dispersed throughout the United States, the impacts of trade tend to be more geographically concentrated, owing in part to the spatial agglomeration of labor-intensive manufacturing. Our findings highlight the feasibility of separately identifying the impacts of recent changes in trade and technology on US regional economies.

Suggested Citation

  • David H. Autor & David Dorn & Gordon H. Hanson, 2013. "The Geography of Trade and Technology Shocks in the United States," American Economic Review, American Economic Association, vol. 103(3), pages 220-225, May.
  • Handle: RePEc:aea:aecrev:v:103:y:2013:i:3:p:220-25
    Note: DOI: 10.1257/aer.103.3.220
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    References listed on IDEAS

    as
    1. Barry Naughton, 2007. "The Chinese Economy: Transitions and Growth," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262640643, January.
    2. Oldenski, Lindsay, 2012. "Export Versus FDI and the Communication of Complex Information," Journal of International Economics, Elsevier, vol. 87(2), pages 312-322.
    3. Firpo, Sergio & Fortin, Nicole M. & Lemieux, Thomas, 2011. "Occupational Tasks and Changes in the Wage Structure," IZA Discussion Papers 5542, Institute for the Study of Labor (IZA).
    4. David H. Autor & Frank Levy & Richard J. Murnane, 2003. "The skill content of recent technological change: an empirical exploration," Proceedings, Federal Reserve Bank of San Francisco, issue Nov.
    5. Christian Dustmann & Johannes Ludsteck & Uta Schönberg, 2009. "Revisiting the German Wage Structure," The Quarterly Journal of Economics, Oxford University Press, vol. 124(2), pages 843-881.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Drivas, Kyriakos & Economidou, Claire & Karkalakos, Sotiris & Tsionas, Efthymios G., 2016. "Mobility of knowledge and local innovation activity," European Economic Review, Elsevier, vol. 85(C), pages 39-61.
    2. Kourtellos, Andros & Marr, Christa & Tan, Chih Ming, 2016. "Robust determinants of intergenerational mobility in the land of opportunity," European Economic Review, Elsevier, vol. 81(C), pages 132-147.
    3. Gagliardi, Luisa, 2014. "Employment and technological change: on the geography of labour market adjustments," LSE Research Online Documents on Economics 64499, London School of Economics and Political Science, LSE Library.
    4. Nicholas Bloom & Paul M. Romer & Stephen J. Terry & John Van Reenen, 2013. "A Trapped-Factors Model of Innovation," American Economic Review, American Economic Association, vol. 103(3), pages 208-213, May.
    5. Francesco Vona & G. Marin & D. Consoli, 2016. "Measures, Drivers and Effects of Green Employment : evidence from US local Labor Markets, 2006-2014," Documents de Travail de l'OFCE 2016-22, Observatoire Francais des Conjonctures Economiques (OFCE).
    6. repec:aea:aejapp:v:9:y:2017:i:3:p:262-94 is not listed on IDEAS
    7. Francesco Vona & Giovanni Marin & Davide Consoli & David Popp, 2015. "Green Skills," CESifo Working Paper Series 5323, CESifo Group Munich.
    8. repec:eee:rensus:v:77:y:2017:i:c:p:1261-1271 is not listed on IDEAS
    9. Luisa Gagliardi & Simona Iammarino & Andrés Rodríguez-Pose, 2015. "Offshoring and the Geography of Jobs in Great Britain," SERC Discussion Papers sercd0185, Spatial Economics Research Centre, LSE.
    10. M. Goos & Jozef Konings & Marieke Vanderweyer, 2015. "Employment Growth in Europe:The Roles of Innovation, Local Job Multipliers and Institutions," Working Papers 15-10, Utrecht School of Economics.
    11. Michael Peters & Fabian Eckert, 2016. "Urbanization, Growth and Structural Change," 2016 Meeting Papers 774, Society for Economic Dynamics.
    12. Böckerman, Petri & Laaksonen, Seppo & Vainiomäki, Jari, 2016. "Are Jobs More Polarized in ICT Firms?," IZA Discussion Papers 9851, Institute for the Study of Labor (IZA).
    13. Paul Gaggl & Greg C. Wright, 2017. "A Short-Run View of What Computers Do: Evidence from a UK Tax Incentive," American Economic Journal: Applied Economics, American Economic Association, vol. 9(3), pages 262-294, July.
    14. Davide Consoli & Mabel Sánchez-Barrioluengo, 2016. "Polarization and the growth of low-skill employment in Spanish Local Labor Markets," Papers in Evolutionary Economic Geography (PEEG) 1628, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Nov 2016.
    15. Gould, Eric D., 2015. "Explaining the Unexplained: Residual Wage Inequality, Manufacturing Decline, and Low-Skilled Immigration," IZA Discussion Papers 9107, Institute for the Study of Labor (IZA).
    16. Nuarpear Lekfuangfu, 2017. "Intensive and Extensive Margins of Labour Supply in Thailand: Decomposing the Pattern of Work Behaviours," PIER Discussion Papers 59, Puey Ungphakorn Institute for Economic Research, revised May 2017.
    17. repec:esx:essedp:752 is not listed on IDEAS
    18. Partridge, Mark D. & Rickman, Dan & Olfert, M. Rose & Tan, Ying, 2013. "International Trade and Local Labor Markets: Are Foreign and Domestic Shocks Created Differently?," MPRA Paper 53407, University Library of Munich, Germany.

    More about this item

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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