IDEAS home Printed from https://ideas.repec.org/p/ecj/ac2002/77.html

International Trade and Rent Sharing in Developed and Developing countries

Author

Listed:
  • Fontagne, Lionel

    (University of Paris1 and CNRS, France)

  • Daniel Mirza

Abstract

In this paper, we derive then test a theoretical equation, based on rent sharing theories, linking industry wages to openness variables. This relation has three main features: 1/ it can be easily confronted to the data. 2/ it allows for both impacts of import and export variables to be properly considered in a same testable wage equation. 3/ it stresses explicitly the role of imperfect market structures of goods and labor, as well as their interaction, when studying wages' response to openness. We construct a dataset that provides together trade, activity and labor related data for around 29 industries and 65 countries between 1981 and 1997. We find, for OECD countries, that an increase in export as well as domestic market shares is associated with growth in wages in roughly half of the industries. Among developing countries, Mediterranean followed by Latin American countries, are those where such phenomenon of rent-sharing can be observed. This does not seem to be the case in Asia however.

Suggested Citation

  • Fontagne, Lionel & Daniel Mirza, 2002. "International Trade and Rent Sharing in Developed and Developing countries," Royal Economic Society Annual Conference 2002 77, Royal Economic Society.
    • Handle: RePEc:ecj:ac2002:77
    as

    Download full text from publisher

    File URL: http://repec.org/res2002/Fontagne.pdf
    File Function: full text
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hervé Boulhol, 2005. "The convergence of price-cost margins," Post-Print halshs-00195890, HAL.
    2. repec:lic:licosd:13603 is not listed on IDEAS
    3. Hervé Boulhol, 2005. "Pro-competitive policies and the convergence of markups," Post-Print halshs-00193915, HAL.
    4. Hervé Boulhol, 2008. "The Convergence of Price–cost Margins," Open Economies Review, Springer, vol. 19(2), pages 221-240, April.

    More about this item

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ecj:ac2002:77. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Christopher F. Baum (email available below). General contact details of provider: https://edirc.repec.org/data/resssea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.