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International trade regulation and job creation

Author

Listed:
  • Mattia Di Ubaldo

    (University of Sussex, UK)

  • L. Alan Winters

    (University of Sussex, UK, and IZA, Germany)

Abstract
Trade regulation can create jobs in the sectors it protects or promotes, but almost always at the expense of destroying a roughly equivalent number of jobs elsewhere in the economy. At a product-specific or micro level and in the short term, controlling trade could reduce the offending imports and save jobs, but for the economy as a whole and in the long term, this has neither theoretical support nor evidence in its favor. Given that protection may have other—usually adverse—effects, understanding the difficulties in using it to manage employment is important for economic policy.

Suggested Citation

  • Mattia Di Ubaldo & L. Alan Winters, 2020. "International trade regulation and job creation," IZA World of Labor, Institute of Labor Economics (IZA), pages 1-75, February.
    • Handle: RePEc:iza:izawol:journl:2020:n:75
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    References listed on IDEAS

    as
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    6. Pinelopi Koujianou Goldberg & Nina Pavcnik, 2007. "Distributional Effects of Globalization in Developing Countries," Journal of Economic Literature, American Economic Association, vol. 45(1), pages 39-82, March.
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    8. Lori G. Kletzer, 2004. "Trade‐related Job Loss and Wage Insurance: a Synthetic Review," Review of International Economics, Wiley Blackwell, vol. 12(5), pages 724-748, November.
    9. Xavier Cirera & Dirk Willenbockel & Rajith W.D. Lakshman, 2014. "Evidence On The Impact Of Tariff Reductions On Employment In Developing Countries: A Systematic Review," Journal of Economic Surveys, Wiley Blackwell, vol. 28(3), pages 449-471, July.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Giorgia Giovannetti & Marco Sanfilippo & Arianna Vivoli, 2021. "Trade liberalization, employment, and gender in Ethiopia," WIDER Working Paper Series wp-2021-59, World Institute for Development Economic Research (UNU-WIDER).
    2. Tandon, Anjali, 2022. "Employment implications of India’s international trade – A macro view based on Input-Output analysis," MPRA Paper 112778, University Library of Munich, Germany.
    3. Jakob Engel & Deeksha Kokas & Gladys Lopez-Acevedo & Maryla Maliszewska, 2021. "The Distributional Impacts of Trade," World Bank Publications - Books, The World Bank Group, number 35552.

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    More about this item

    Keywords

    employment; tariffs; protection; trade regulation;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F66 - International Economics - - Economic Impacts of Globalization - - - Labor

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