Trade Liberalization and the Skill Premium: A Local Labor Markets Approach

S-Tier
Journal: American Economic Review
Year: 2015
Volume: 105
Issue: 5
Pages: 551-57

Authors (2)

Rafael Dix-Carneiro (not in RePEc) Brian K. Kovak (Carnegie Mellon University)

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We develop a specific-factors model of regional economies that includes two types of workers, skilled and unskilled. The model delivers a simple equation relating trade-induced local shocks to changes in local skill premia. We apply the methodology to Brazil's early 1990s trade liberalization and find statistically significant but modest effects of liberalization on the evolution of the skill premium between 1991 and 2010. The methodology uses widely available household survey data and can easily be applied to other countries and liberalization episodes.

Technical Details

RePEc Handle
repec:aea:aecrev:v:105:y:2015:i:5:p:551-57
Journal Field
General
Author Count
2
Added to Database
2026-01-25