TY  - GEN
AB  - Using the dismantling of trade quotas on Chinese textile and clothing products in conjunction
with China's accession to the WTO and an employer-employee matched data-set for the period
1999 to 2010, workers' adjustments to intensified low-wage competition is analyzed. Utilizing
within-industry heterogeneity in workers' exposure to this trade shock, results reveal negative
and significant impact of the low-wage import shock on workers' future earnings and employment
trajectories. The abolishment of quotas leads to higher likelihood of unemployment and shorter
future tenure for workers. While most workers employed by firms exposed to low-wage competition
are influenced negatively to a similar extent at the exposed employer, the degree of adjustment to
the initial shock varies greatly across different types of workers. In particular less-educated, older
and those who had elementary occupations or occupations that require industry-specific training
at the exposed firms had the worst adjustment experience. The results suggest that adjustment
costs are very important and heterogeneous across different types of workers and highlight the
need for targeting specific groups in assistance and adjustment schemes.
DA  - 2014
DO  - 10.4119/unibi/2699049
LA  - eng
PY  - 2014
SN  - 2196-2723
SP  - 59-
TI  - Workers beneath the Floodgates: The Impact of removing trade quotas for China on Danish workers
UR  - https://nbn-resolving.org/urn:nbn:de:0070-pub-26990494
Y2  - 2024-11-22T08:53:19
ER  -