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Globalization and Employment: The Impact of Trade on Employment Level and Structure in the Philippines

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  • Orbeta, Aniceto Jr. C.

Abstract

This paper presents one of the few empirical estimates of the impact of globalization, here represented by trade flows, on employment level and structure using Philippine data. Using both aggregate and sub-industry level manufacturing data, the paper shows that increases in the propensity to export shifts the demand for labor upward. It also shows that the impact of the propensity to import on labor demand is unclear yielding from significantly positive to insignificant coefficients. In terms of employment structure, the impact of openness on the proportion of women workers is not significant in the aggregate but at the manufacturing sub-industry level, the increase in the propensity to export is a boon for women workers. Finally, increases in export propensity increase the proportion of low-skilled production workers both at the aggregate and manufacturing sub-industries level.

Suggested Citation

  • Orbeta, Aniceto Jr. C., 2002. "Globalization and Employment: The Impact of Trade on Employment Level and Structure in the Philippines," Discussion Papers DP 2002-04, Philippine Institute for Development Studies.
    • Handle: RePEc:phd:dpaper:dp_2002-04
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    References listed on IDEAS

    as
    1. de Melo, Jaime & Faini, Riccardo, 1995. "Trade Liberalization, Employment and Migration. Some Simulations for Morocco," CEPR Discussion Papers 1198, C.E.P.R. Discussion Papers.
    2. Anne O. Krueger, 1983. "Trade and Employment in Developing Countries, Volume 3: Synthesis and Conclusions," NBER Books, National Bureau of Economic Research, Inc, number krue83-1, June.
    3. Levinsohn, James, 1999. "Employment responses to international liberalization in Chile," Journal of International Economics, Elsevier, vol. 47(2), pages 321-344, April.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Audi, Marc & Ali, Amjad, 2016. "Gender Gap and Trade Liberalization: An Analysis of some selected SAARC countries," MPRA Paper 83520, University Library of Munich, Germany.
    2. Biswajit Nag & Saloni Khurana, 2018. "India’s Trade Sensitive Employment-Analysis at the Sectoral Level," Working Papers 1834, Indian Institute of Foreign Trade.
    3. Joseph Ayoola Omojolaibi & Ekundayo Peter Mesagan & Nsofor Chinedu Stanley, 2016. "Globalization and Financial Development in Nigeria," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 20(4), pages 461-478, Autumn.
    4. Eddy LEE & Marco VIVARELLI, 2006. "The social impact of globalization in the developing countries," International Labour Review, International Labour Organization, vol. 145(3), pages 167-184, September.
    5. Sèna Kimm Gnangnon, 2020. "Aid for Trade and sectoral employment diversification in recipient-countries," Economic Change and Restructuring, Springer, vol. 53(2), pages 265-295, May.
    6. Vashisht, Pankaj, 2016. "Creating manufacturing jobs in India: Has openness to trade really helped?," Journal of Asian Economics, Elsevier, vol. 42(C), pages 53-64.
    7. Louisiana Cavalcanti Teixeira, 2020. "Trade Liberalization and Gender: Income and Multidimensional Deprivation Gaps in Brazil," Working Papers hal-02997094, HAL.
    8. Rafaelita Aldaba, . "Impact of Trade Liberalization on Wage Skill Premium in Philippine Manufacturing," Chapters, in: Chine Hee HAHN & Dionisius Narjoko (ed.), Impact of Globalization on Labor Market, chapter 4, pages 69-105, Economic Research Institute for ASEAN and East Asia (ERIA).
    9. Barrientos, Stephanie. & Kabeer, Naila. & Hossain, Naomi., 2004. "The gender dimensions of the globalization of production," ILO Working Papers 993701183402676, International Labour Organization.
    10. Pankaj Vashisht, 2015. "Creating Manufacturing Jobs in India: Has Openness to Trade Really Helped?," Working Papers id:7126, eSocialSciences.
    11. Khondaker Golam Moazzem & Md Minhaz M Reza, 2018. "Growth of Employment in the Manufacturing Sector: Impact of Trade and Trade-related Policies," CPD Working Paper 118, Centre for Policy Dialogue (CPD).
    12. Pasadilla, Gloria & Liao, Christine Marie, 2004. "Determinants of Individual Trade Policy Preference in the Philippines," Discussion Papers DP 2004-16, Philippine Institute for Development Studies.
    13. repec:ilo:ilowps:370118 is not listed on IDEAS
    14. Orbeta, Aniceto Jr. C., 2002. "Education, Labor Market, and Development: A Review of the Trends and Issues in the Philippines for the Past 25 Years," Discussion Papers DP 2002-19, Philippine Institute for Development Studies.
    15. Rana Hasan & Karl Robert L. Jandoc, 2010. "Trade Liberalization and Wage Inequality in the Philippines," UP School of Economics Discussion Papers 201006, University of the Philippines School of Economics.

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