WTO Accession and the Labor Market: Estimations for Russia
The paper investigates potential impact of Russia’s WTO accession on the labor market by estimating various labor market elasticities with respect to trade liberalization in Russia in the 90-ies. In particular, the influence of tariff reduction on demand for labor is estimated, intersectoral employment flows in recent years and their determinants are studied, as well as determinants of sectoral wage premiums and of wage differentials between skilled and unskilled labor. The estimated elasticities of labor demand and wages show to be of very moderate size implying that one need not expect a dramatic influence of Russia’s WTO accession on the labor market provided the size of the shock is comparable to the one of the increased country openness during the 90-ies.
|Date of creation:||Oct 2003|
|Date of revision:|
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- Cragg, Michael Ian & Epelbaum, Mario, 1996. "Why has wage dispersion grown in Mexico? Is it the incidence of reforms or the growing demand for skills?," Journal of Development Economics, Elsevier, vol. 51(1), pages 99-116, October.
- Revenga, Ana, 1997. "Employment and Wage Effects of Trade Liberalization: The Case of Mexican Manufacturing," Journal of Labor Economics, University of Chicago Press, vol. 15(3), pages S20-43, July.
- Pinelopi K. Goldberg & Nina Pavcnik, 2001. "Trade Protection and Wages: Evidence from the Colombian Trade Reforms," NBER Working Papers 8575, National Bureau of Economic Research, Inc.
- Manuel Arellano & Stephen Bond, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," Review of Economic Studies, Oxford University Press, vol. 58(2), pages 277-297.
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