The health toll of import competition | VOX, CEPR Policy Portal
Takashi Oshio, Seiichi Inagaki While globalisation has enabled both the growth of poorer countries and access to cheaper consumer goods in richer ones, many worry that the effects of trade – and particularly import competition – have been poorly distributed across individuals in developed countries. At the core of an important literature (Autor et al. 2013a, 2014, 2016, Ebenstein et al. 2014, Pierce and Schott 2016), the ‘China shock’ has been shown to lead locally to higher unemployment, lower labour force participation and reduced wages. Spatial heterogeneity of the local labour m...
Source: voxeu.org