IDEAS home Printed from https://ideas.repec.org/p/iae/iaewps/wp2020n06.html
   My bibliography  Save this paper

The impact of international trade on manufacturing employment in Australia: Evidence from the China shock

Author

Listed:
  • Aaron Blanco

    (Department of Economics, The University of Melbourne)

  • Jeff Borland

    (Department of Economics, The University of Melbourne)

  • Michael Coelli

    (Department of Economics, The University of Melbourne)

  • James Maccarrone

    (Department of Economics University of Oxford)

Abstract

We examine how the rapid growth in imports of manufactured goods from China affected industry-level employment in Australia from 1991 to 2006. Our analysis incorporates both the direct effect from increased import competition, and indirect spill-over effects from inputoutput linkages. We estimate that growth in imports from China caused a loss in total manufacturing employment of between 89,900 and 209,800 workers – accounting for 8.5 to 19.8 per cent of manufacturing employment in 1991. Such an effect seems best described as sizable, but not one that by itself spelled the end of manufacturing industry in Australia. The largest impacts from growth in Chinese imports are found for manufacturing industries most exposed to import competition; and for the sub-period from 2001 to 2006.

Suggested Citation

  • Aaron Blanco & Jeff Borland & Michael Coelli & James Maccarrone, 2020. "The impact of international trade on manufacturing employment in Australia: Evidence from the China shock," Melbourne Institute Working Paper Series wp2020n06, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    • Handle: RePEc:iae:iaewps:wp2020n06
    as

    Download full text from publisher

    File URL: https://melbourneinstitute.unimelb.edu.au/__data/assets/pdf_file/0003/3360693/wp2020n06.pdf
    Download Restriction: no
    ---><---

    Citations

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


    Cited by:

    1. Rob Euwals & Harro van Heuvelen & Gerdien Meijerink & Jan Möhlmann & Simon Rabaté, 2021. "Increased trade with China and Eastern Europe hardly affects Dutch workers," CPB Discussion Paper 426, CPB Netherlands Bureau for Economic Policy Analysis.

    More about this item

    Keywords

    employment; manufacturing; trade; China;
    All these keywords.

    JEL classification:

    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions

    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:iae:iaewps:wp2020n06. 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: Sheri Carnegie (email available below). General contact details of provider: https://edirc.repec.org/data/mimelau.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.