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http://hdl.handle.net/10419/33211
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| Title: | | The social impact of globalization in the developing countries  |
| Authors: | | Lee, Eddy Vivarelli, Marco |
| Issue Date: | | 2006 |
| Series/Report no.: | | IZA Discussion Papers 1925 |
| Abstract: | | In this paper an ex-post measurable definition of globalization has been used, namely increasing trade openness and FDI. A general result is that the optimistic Heckscher-Ohlin/Stolper-Samuelson predictions do not apply, that is neither employment creation nor the decrease in within-country inequality are automatically assured by increasing trade and FDI. The other main findings of the paper are that: 1) the employment effect can be very diverse in different areas of the world, giving raise to concentration and marginalisation phenomena; 2) increasing trade and FDI do not emerge as the main culprits of increasing within-country income inequality in DCs, although some evidence emerges that import of capital goods may imply an increase in inequality via skill-biased technological change; 3)increasing trade seems to foster economic growth and absolute poverty alleviation, although some important counter-examples emerge. |
| Subjects: | | trade FDI employment poverty within-country income inequality |
| JEL: | | F02 O1 |
| Document Type: | | Working Paper |
| Appears in Collections: | | IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)
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