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Trade Openness and Wage Inequality Between Skilled and Unskilled Workers in Tunisia


  • Monia Ghazali


An important literature emerged in the 90s about the relationship between integration in the world economy and wage inequality. However, it is more focused on developed countries and Latin America. This paper investigates the impact of trade liberalization process in Tunisia, initiated since the second half of the 1980s, on wage inequality between skilled and unskilled workers, over the period 1975-2002. We provide panel data evidence that trade openness contributes to increasing wage inequality. The results converge with conclusions of many existing studies on developing countries and make it essential to identify explanations for this phenomenon in presence of a high unemployment rate of university graduates, in Tunisia.

Suggested Citation

  • Monia Ghazali, 2009. "Trade Openness and Wage Inequality Between Skilled and Unskilled Workers in Tunisia," Economie Internationale, CEPII research center, issue 117, pages 63-97.
  • Handle: RePEc:cii:cepiei:2009-1td

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    References listed on IDEAS

    1. Ianchovichina, Elena, 2002. "Trade policy analysis in the presence of duty drawbacks," Policy Research Working Paper Series 3312, The World Bank.
    2. Yoko Niimi & Puja Vasudeva Dutta & L. Alan Winters, 2015. "Trade Liberalisation and Poverty Dynamics in Vietnam," World Scientific Book Chapters,in: Non-Tariff Barriers, Regionalism and Poverty Essays in Applied International Trade Analysis, chapter 16, pages 333-365 World Scientific Publishing Co. Pte. Ltd..
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    6. Emiko Fukase & Will Martin, 2000. "The effects of the United States granting MFN status to Vietnam," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 136(3), pages 539-559, September.
    7. Yvan Decreux & Hugo Valin, 2007. "MIRAGE, Updated Version of the Model for Trade Policy Analysis: Focus on Agriculture and Dynamics," Working Papers 2007-15, CEPII research center.
    8. Fujii, Tomoki & Roland-Holst, David, 2007. "How Does Vietnam's Accession to the World Trade Organization Change the Spatial Incidence of Poverty?," WIDER Working Paper Series 012, World Institute for Development Economic Research (UNU-WIDER).
    9. Mohamed Ali Marouani, 2002. "Imperfections du marché du travail et modèles d’équilibre général calculables : une revue de littérature," Working Papers DT/2002/16, DIAL (Développement, Institutions et Mondialisation).
    10. Jean-Pierre Cling & Mohamed Ali Marouani & Mireille Razafindrakoto & Anne-Sophie Robilliard & Francois Roubaud, 2009. "The Distributive Impact of Vietnam's Accession to the WTO," Economie Internationale, CEPII research center, issue 118, pages 43-71.
    11. Martin, Will, 2001. "A Quantitative Evaluation of Vietnam's Accession to the ASEAN Free Trade Area," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 16, pages 545-567.
    12. Abbott, Philip & Bentzen, Jeanet & Tarp, Finn, 2009. "Trade and Development: Lessons from Vietnam's Past Trade Agreements," World Development, Elsevier, vol. 37(2), pages 341-353, February.
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    14. Ianchovichina, Elena, 2004. "Trade policy analysis in the presence of duty drawbacks," Journal of Policy Modeling, Elsevier, vol. 26(3), pages 353-371, April.
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    18. repec:dau:papers:123456789/4566 is not listed on IDEAS
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    Cited by:

    1. Aissaoui, Najeh & Ben Hassen, Lobna, 2015. "Skill-biased Technological Change, E-skills and Wage Inequality: Evidence from Tunisia," MPRA Paper 76551, University Library of Munich, Germany, revised 29 Jun 2015.

    More about this item


    Wage inequality; trade openness; Tunisia;

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration


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