Globalization and the Labor Market

Rama, Martí ; n

World Bank

关键词: labor market;    wages;    foreign direct investment;   

DOI  :  10.1093/wbro/lkg010
RP-ID  :  76452

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

Does globalization affects labor marketoutcomes? Can labor market policies mitigate or offset theeffects? Would these polices have important side effect onefficiency this article addresses these questions through ananalytical survey of the literature, including severalstudies under preparation. Some of the studies use newcross-country database of wages and other labor marketindicators. Although all the answer should be consideredtentative some patterns emerge. Different aspects ofglobalization have different consequence. In the short runwages fall with openness to trade and rise with foreigndirect investment also increase (substantially) the returnsto education. Social protection programs are effective inreducing inequality. Minimum wages, public sectoremployment, and core labor standards are not. Between thesetwo extremes, collective bargain works mainly for the middleclass. Social protection programs do not adversely affectefficiency, but high public sector employment and tradeunion membership are associated with weaker performance inthe context of adjustment.