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Globalization, Social Welfare, and Labor Market Inequalities

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  • Clement Allan Tisdell

    (UQ [All campuses : Brisbane, Dutton Park Gatton, Herston, St Lucia and other locations] - The University of Queensland)

  • Serge Svizzero

    (CERESUR - Centre d'Etudes et de Recherches Economique et Sociales de l'Université de La Réunion - UR - Université de La Réunion)

Abstract

Income inequality has increased sharply in higher income countries. Theories attributing this to bifurcation of labor markets are examined. Some theorists attribute this bifurcation primarily to technical change with influence from globalization. Others take an opposite viewpoint. A contrasting view presented here is that globalization is strongly linked with technological change more significantly even if globalization increases economic efficiency and growth in high-income countries, it can raise income inequality and reduce social welfare. International fiscal competitiveness may, it is argued, contribute to income inequality and make all nations worse off. Trends in public social expenditure and in taxation receipts in higher income countries, including Singapore, are examined to determine the empirical support for the theory.

Suggested Citation

  • Clement Allan Tisdell & Serge Svizzero, 2003. "Globalization, Social Welfare, and Labor Market Inequalities," Working Papers hal-02163237, HAL.
    • Handle: RePEc:hal:wpaper:hal-02163237
    Note: View the original document on HAL open archive server: https://hal.univ-reunion.fr/hal-02163237
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    References listed on IDEAS

    as
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    18. Tisdell, Clement A., 2001. "Externalities, Thresholds and the Marketing of New Aquacultural Products: Theory and Examples," Economic Theory, Applications and Issues Working Papers 90468, University of Queensland, School of Economics.
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