GTAP Resources: Resource Display
GTAP Resource #7515 |
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"Effects of NAFTA on Rural U.S. Employment and Wages" by Charlton, Diane, Amanda M. Countryman, Dale Manning and Sionegael Ikeme Abstract The neoclassical approach to economic development emphasizes the welfare gains from trade liberalization. Nevertheless, some industries and workers suffer losses from trade and increased foreign competition. While economists have frequently pointed to countries like Taiwan and South Korea as examples of successful export-led growth strategies, the economics literature has identified numerous populations that were negatively impacted by foreign competition and did not quickly recover. Most literature on the labor market effects of trade competition in developed countries have focused on the manufacturing and other non-agricultural. However, rural communities with relatively large shares of employment in agriculture might have unique responses to trade liberalization, especially in countries like the U.S. that are major exporters of agricultural goods. This paper investigates the effects of county-level employment exposure to changes in U.S. and foreign import tariffs during the North American Free Trade Agreement (NAFTA) on rural employment and wages. |
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- Labor market issues - Migration - Preferential trading arrangements - North America |
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Last Modified: 9/15/2023 2:05:45 PM