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Discussion Papers, SFB 373, HU Berlin >
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http://hdl.handle.net/10419/62688
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| Title: | | Fragmentation, globalization and labor markets  |
| Authors: | | Burda, Michael C. Dluhosch, Barbara |
| Issue Date: | | 2001 |
| Series/Report no.: | | Discussion Papers, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes 2001,41 |
| Abstract: | | Fragmentation of the value-added-chain is modeled as the reaction of monopolistically competitive firms to the removal of barriers to trade and factor mobility in an integrated trading environment. Since fragmentation requires high-skilled labor, this form of globalization can induce labor market effects similar to those caused by skill-biased technical change. In the short run, it is likely that fragmentation will be accompanied by an increase in high and low-skilled service employment as well as in the skilled wage premia, as observed in OECD countries. These implications can be reversed, however, as new firms enter the market. |
| Subjects: | | International Trade Organization of Production Technology Choice Division of Labor |
| JEL: | | F10 L23 O33 |
| Persistent Identifier of the first edition: | | urn:nbn:de:kobv:11-10049845 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Discussion Papers, SFB 373, HU Berlin
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