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Effects of Trade Liberalization on the Gender Wage Gap: Evidences from Panel Data of the Indian Manufacturing Sector

Author

Listed:
  • Manabu Furuta

    (Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan)

  • Prabir Bhattacharya

    (School of Social Sciences, Heriot-Watt University, Edinburgh, Scotland, UK)

  • Takahiro Sato

    (Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan)

Abstract

This paper examines the effects of trade liberalization on the gender wage gap in the Indian manufacturing sector during the period 2000 to 2007. We find that trade liberalization has had the effect of widening the gender wage gap in the labour-intensive, but not in the capital-intensive, industries. The explanations offered for the widening gender wage gap are in terms of the Stolper-Samuelson effect and trade-induced skill biased technical change. Policy implications of the findings are noted.

Suggested Citation

  • Manabu Furuta & Prabir Bhattacharya & Takahiro Sato, 2017. "Effects of Trade Liberalization on the Gender Wage Gap: Evidences from Panel Data of the Indian Manufacturing Sector," Discussion Paper Series DP2017-22, Research Institute for Economics & Business Administration, Kobe University, revised Mar 2018.
    • Handle: RePEc:kob:dpaper:dp2017-22
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    File URL: https://www.rieb.kobe-u.ac.jp/academic/ra/dp/English/DP2017-22.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    Gender wage gap; Trade liberalization; Manufacturing sector; India;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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