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Exporting Sweatshops? Evidence from Myanmar

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  • Mari Tanaka

    (Hitotsubashi University)

Abstract

This study investigates the impacts of exporting on working conditions in Myanmar by drawing on a new firm survey. For the identification, I use the rapid opening of Myanmar to trade alongside the firm's proximity to airports and products that have generated variations in access to foreign markets. The results show that exporting has significant positive impacts on working conditions regarding fire safety, health management, and freedom of negotiation; positive insignificant effects on wages; and negative insignificant effects on working hours. I also find that exporting positively affects firm size, management practices, and the likelihood of receiving a labor audit.

Suggested Citation

  • Mari Tanaka, 2020. "Exporting Sweatshops? Evidence from Myanmar," The Review of Economics and Statistics, MIT Press, vol. 102(3), pages 442-456, July.
    • Handle: RePEc:tpr:restat:v:102:y:2020:i:3:p:442-456
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    Cited by:

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    2. Grier, Kevin & Mahmood, Towhid & Powell, Benjamin, 2023. "Anti-sweatshop activism and the safety-employment tradeoff: Evidence from Bangladesh's Rana Plaza disaster," Journal of Economic Behavior & Organization, Elsevier, vol. 208(C), pages 174-190.
    3. Robertson, Raymond & Kokas, Deeksha & Cardozo Medeiros, Diego & Lopez-Acevedo, Gladys, 2022. "Mending the Gap: Apparel Export Prices and the Gender Wage Gap in Bangladesh," IZA Discussion Papers 15411, Institute of Labor Economics (IZA).
    4. Bossavie, Laurent & Cho, Yoonyoung & Heath, Rachel, 2023. "The effects of international scrutiny on manufacturing workers: Evidence from the Rana Plaza collapse in Bangladesh," Journal of Development Economics, Elsevier, vol. 163(C).
    5. Zhang, Yanzhe & Xu, Helian, 2024. "Processing export and firms’ social security contributions in China: The role of supply chain pressure," Journal of Asian Economics, Elsevier, vol. 92(C).
    6. Herkenhoff, Philipp & Krautheim, Sebastian & Semrau, Finn Ole & Steglich, Frauke, 2024. "Corporate Social Responsibility along the global value chain," Open Access Publications from Kiel Institute for the World Economy 301393, Kiel Institute for the World Economy (IfW Kiel).
    7. Cristina Constantinescu & Ana Margarida Fernandes & Arti Grover & Stavros Poupakis & Santiago Reyes, 2022. "Globally Engaged Firms in the Covid-19 Crisis," CESifo Working Paper Series 9711, CESifo.
    8. Akerlof, Robert & Ashraf, Anik & Macchiavello, Rocco & Rabbani, Atonu, 2020. "Layoffs and productivity at a Bangladeshi sweater factor," The Warwick Economics Research Paper Series (TWERPS) 1293, University of Warwick, Department of Economics.
    9. Klymak, Margaryta, 2023. "The trade effects of information provision about forced and child labor," World Development, Elsevier, vol. 167(C).
    10. Trang Hoai Phan, 2022. "Working Conditions, Export Decisions, and Firm Constraints-Evidence from Vietnamese Small and Medium Enterprises," Sustainability, MDPI, vol. 14(13), pages 1-25, June.
    11. Teresa Molina & Mari Tanaka, 2023. "Globalization and Female Empowerment: Evidence from Myanmar," Economic Development and Cultural Change, University of Chicago Press, vol. 71(2), pages 519-565.
    12. Boudreau, Laura & Heath, Rachel & McCormick, Tyler H., 2024. "Migrants, experience, and working conditions in Bangladeshi garment factories," Journal of Economic Behavior & Organization, Elsevier, vol. 219(C), pages 196-213.
    13. Yiping Sun & Chengjun Wu & Xiaoming Zhu & Pingguan Bian, 2022. "China’s Accession to the WTO as a Shock to Residents’ Health—A Difference-in-Difference Approach," IJERPH, MDPI, vol. 19(22), pages 1-18, November.
    14. Wu, Feifei & Xu, Peipei & Gao, Bo & Ma, Jing, 2024. "Export contraction and input switching in an aging China," China Economic Review, Elsevier, vol. 85(C).
    15. Vrolijk, Kasper, 2023. "How does globalisation affect social cohesion?," IDOS Discussion Papers 5/2023, German Institute of Development and Sustainability (IDOS).
    16. Laura Boudreau & Julia Cajal-Grossi & Rocco Macchiavello, 2023. "Global Value Chains in Developing Countries: A Relational Perspective from Coffee and Garments," Journal of Economic Perspectives, American Economic Association, vol. 37(3), pages 59-86, Summer.
    17. Phan, Trang Hoai, 2022. "Working Conditions, Export Decisions, and Firm Constraints-Evidence from Vietnamese Small and Medium Enterprises," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 133903, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    18. Nobuaki Yamashita & Doan Thi Thanh Ha, 2022. "Participation in Global Value Chains and Rent Sharing by Small Firms in Viet Nam," Working Papers DP-2021-52, Economic Research Institute for ASEAN and East Asia (ERIA).
    19. Mari Tanaka, 2023. "Ethical production and export performance across destinations: evidence from Myanmar," The Japanese Economic Review, Springer, vol. 74(3), pages 413-437, July.

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