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International Trade and Manufacturing Employment in the South: Four Country Case Studies

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  • Rhys Jenkins
  • Kunal Sen

Abstract

This paper investigates the impact of international trade on manufacturing employment in developing countries, by undertaking a comparative study of four countries—Bangladesh, Kenya, South Africa and Vietnam. It does so by employing a variety of methodological approaches: factor content; growth accounting; and econometric modelling. The main empirical finding is that international trade seems to be associated with the net creation of jobs in Bangladesh and Vietnam, with female workers being the key beneficiaries. In contrast, international trade has been associated with adverse employment outcomes in Kenya, and possibly in South Africa. This suggests that there may be crucial differences between Asia and Africa in terms of the impact of globalization on employment opportunities in manufacturing. Some alternative explanations for such differences are offered in the paper.

Suggested Citation

  • Rhys Jenkins & Kunal Sen, 2006. "International Trade and Manufacturing Employment in the South: Four Country Case Studies," Oxford Development Studies, Taylor & Francis Journals, vol. 34(3), pages 299-322.
    • Handle: RePEc:taf:oxdevs:v:34:y:2006:i:3:p:299-322
    DOI: 10.1080/13600810600921802
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    References listed on IDEAS

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    1. World Bank, 2002. "Globalization, Growth, and Poverty : Building an Inclusive World Economy," World Bank Publications - Books, The World Bank Group, number 14051, December.
    2. Robbins, Donald J., 1996. "Hos Hits Facts: Facts Win Evidence On Trade And Wages In The Developing World," Harvard Institute for International Development (HIID) Papers 294374, Harvard University, Kennedy School of Government.
    3. Donald J. Robbins, 1996. "Evidence on Trade and Wages in the Developing World," OECD Development Centre Working Papers 119, OECD Publishing.
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    Cited by:

    1. Rolph van der Hoeven, 2018. "Employment and development in Asia," WIDER Working Paper Series 107, World Institute for Development Economic Research (UNU-WIDER).
    2. Rajesh Raj S.N. & Subash Sasidharan, 2015. "Impact of Foreign Trade on Employment and Wages in Indian Manufacturing," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 16(2), pages 209-232, September.
    3. Sanjeev Kumar & Falguni Pattanaik & Ajay K. Singh, 2021. "Modeling Trade–Employment Elasticity Nexus: Evidence from India," Emerging Economy Studies, International Management Institute, vol. 7(1), pages 62-75, May.
    4. Gozgor, Giray, 2018. "Does the structure of employment affect the external imbalances? Theory and evidence," Structural Change and Economic Dynamics, Elsevier, vol. 45(C), pages 77-83.
    5. Kunal Sen, 2009. "International Trade and Manufacturing Employment: Is India following the Footsteps of Asia or Africa?," Review of Development Economics, Wiley Blackwell, vol. 13(4), pages 765-777, November.
    6. Gyasi, Genevieve, 2020. "The Impact of Trade Agreement Policy on Employment," MPRA Paper 101307, University Library of Munich, Germany.
    7. Kunal Sen, 2008. "International Trade and Manufacturing Employment Outcomes in India: A Comparative Study," WIDER Working Paper Series RP2008-87, World Institute for Development Economic Research (UNU-WIDER).
    8. Yemi Meroyi, 2016. "Comparative Analysis of Impact of Trade Liberalization on Employment Generation during the Military and Civilian Regimes in Nigeria (1980-2012)," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 6(11), pages 110-134, November.
    9. Rolph van der Hoeven, 2018. "Employment and development in Asia," WIDER Working Paper Series wp-2018-107, World Institute for Development Economic Research (UNU-WIDER).
    10. Khondaker Golam Moazzem & Md Minhaz M Reza, 2018. "Growth of Employment in the Manufacturing Sector: Impact of Trade and Trade-related Policies," CPD Working Paper 118, Centre for Policy Dialogue (CPD).
    11. Devasmita Jena & Swati Saini, 2020. "Impact of Trade with ASEAN on India’s Employment in Industrial Sector," Working Papers 2020-190, Madras School of Economics,Chennai,India.
    12. David KUCERA & Leanne RONCOLATO, 2011. "Trade liberalization, employment and inequality in India and South Africa," International Labour Review, International Labour Organization, vol. 150(1-2), pages 1-41, June.
    13. Abugamea, Gaber, 2019. "The nexus of trade, employment and economic growth: evidence from Palestine," MPRA Paper 97100, University Library of Munich, Germany.

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