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International Trade or Technology? Who is Left Behind and What to do about it

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  • Harrison Ann

    (University of California, Berkeley, Haas School of Business, s545 student services building, Berkeley, USA)

Abstract

We examine globalization’s effects on those left behind in both industrial and emerging markets. While access to global markets has lifted billions out of poverty in emerging markets, the benefits have not been equally shared. Increased competition through globalization as well as skill-biased technical change have hurt less educated workers in rich and poor countries. While much of the rising inequality is often attributed to globalization alone, a brief review of the literature suggests that labor-saving technology has likely played an even more important role. The backlash has focused on the negative consequences of globalization in developed countries, and now threatens the global trading system and access to that system for emerging markets. We conclude by proposing some solutions to compensate losers from the twin forces of technical change and globalization.

Suggested Citation

  • Harrison Ann, 2018. "International Trade or Technology? Who is Left Behind and What to do about it," Journal of Globalization and Development, De Gruyter, vol. 9(2), pages 1-15, December.
  • Handle: RePEc:bpj:globdv:v:9:y:2018:i:2:p:15:n:5
    DOI: 10.1515/jgd-2018-0027
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    References listed on IDEAS

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    More about this item

    Keywords

    globalization; inequality; leaving no one behind;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • F02 - International Economics - - General - - - International Economic Order and Integration
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions

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