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Trade Policies and Equilibrium Unemployment

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  • Batra, Ravi
  • Beladi, Hamid

Abstract

In this paper we develop a simple general equilibrium model of trade to analyze the impact of tariffs and technical progress on the equilibrium rate of unemployment. We demonstrate that if a country imposes a tariff its equilibrium rate of unemployment is likely to rise, whereas the impact of technology on equilibrium unemployment depends on the labor intensity of the two sectors. Copyright 1999 by Blackwell Publishers Ltd and The Victoria University of Manchester

Suggested Citation

  • Batra, Ravi & Beladi, Hamid, 1999. "Trade Policies and Equilibrium Unemployment," Manchester School, University of Manchester, vol. 67(4), pages 545-556, September.
  • Handle: RePEc:bla:manchs:v:67:y:1999:i:4:p:545-56
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    Cited by:

    1. Pamela Coke Hamilton & Yvonne Tsikata & Emmanuel Pinto Moreira, 2009. "Accelerating Trade and Integration in the Caribbean : Policy Options for Sustained Growth, Job Creation, and Poverty Reduction," World Bank Publications, The World Bank, number 2652, October.

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