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Income inequalities and international trade in goods and services: short and long-run evidence

Author

Listed:
  • Aurélie Cassette

    (Université Lille Nord (France))

  • Nicolas Fleury

    (Université Lille Nord (France))

  • Sylvain Petit

    () (UPF - Université de la Polynésie française)

Abstract

In this article, we study short and long-run effects of trade openness in services on wage inequalities between different points of the income distribution. The sample covers 10 OECD countries from 1980 to 2005. We find a differentiated impact of trade in goods compared to trade in services: while trade in goods has a short and a long-run impact on inequalities, trade in services has only long-run effects. We also find that international trade in services enhances inequalities in a stronger way than international trade in goods.

Suggested Citation

  • Aurélie Cassette & Nicolas Fleury & Sylvain Petit, 2012. "Income inequalities and international trade in goods and services: short and long-run evidence," Post-Print hal-01831503, HAL.
  • Handle: RePEc:hal:journl:hal-01831503
    DOI: 10.1080/08853908.2012.682023
    Note: View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-01831503
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    References listed on IDEAS

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    1. Nathalie Chusseau & Michel Dumont & Joël Hellier, 2008. "Explaining Rising Inequality: Skill-Biased Technical Change And North-South Trade ," Journal of Economic Surveys, Wiley Blackwell, vol. 22(3), pages 409-457, July.
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    Citations

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    Cited by:

    1. Kaitlin Alper & Evelyne Huber & John D. Stephens, 2019. "Work and Poverty in Post-Industrial Democracies," LIS Working papers 763, LIS Cross-National Data Center in Luxembourg.
    2. repec:ers:journl:v:xx:y:2017:i:3a:p:35-50 is not listed on IDEAS
    3. Petit, Sylvain, 2016. "International trade in services and inequalities: Empirical evaluation and role of tourism services," MPRA Paper 75206, University Library of Munich, Germany.
    4. Hajer Kratou & Mohamed Goaied, 2016. "How Can Globalization Affect Income Distribution? Evidence from Developing Countries," The International Trade Journal, Taylor & Francis Journals, vol. 30(2), pages 132-158, March.
    5. repec:ers:journl:v:xx:y:2017:i:3b:p:27-37 is not listed on IDEAS
    6. Bukhari, Mahnoor & Munir, Kashif, 2016. "Impact of Globalization on Income Inequality in Selected Asian Countries," MPRA Paper 74248, University Library of Munich, Germany.

    More about this item

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • F10 - International Economics - - Trade - - - General

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