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dc.contributor.authorde Pinto, Marcoen_US
dc.date.accessioned2012-11-07T14:06:21Z-
dc.date.available2012-11-07T14:06:21Z-
dc.date.issued2012en_US
dc.identifier.urihttp://hdl.handle.net/10419/66059-
dc.description.abstractTrade liberalization is no Pareto-improvement - there are winners (high-skilled) and losers (low-skilled). To compensate the losers the government is assumed to introduce unemployment benefits (UB). These benefits are financed by either a wage tax, a payroll tax, or a profit tax. Using a Melitz-type model of international trade with unionized labour markets and heterogeneous workers we show that: (i) UB financed by a wage tax reduce aggregate employment but increase welfare measured by per capita output. (ii) UB financed by a payroll tax reduce aggregate employment and welfare. If UB exceeds a well-defined threshold, the trade gains will be completely destroyed. (iii) UB financed by a profit tax reduce the unemployment rate of the low-skilled, but also reduces welfare. The threshold for the level of UB, where the trade gains are destroyed by the redistribution scheme, is higher compared to the case of a payroll tax.en_US
dc.language.isoengen_US
dc.publisherZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften, Leibniz-Informationszentrum Wirtschaft Kiel und Hamburgen_US
dc.relation.ispartofseriesBeiträge zur Jahrestagung des Vereins für Socialpolitik 2012: Neue Wege und Herausforderungen für den Arbeitsmarkt des 21. Jahrhunderts - Session: Labor Markets III G06-V3en_US
dc.subject.jelF10en_US
dc.subject.jelF16en_US
dc.subject.jelH20en_US
dc.subject.ddc330en_US
dc.titleUnemployment Benefits as Redistribution Scheme of Trade Gains - a Positive Analysisen_US
dc.typeConference Paperen_US
dc.identifier.ppn731310586-
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen_US
dc.identifier.repecRePEc:zbw:vfsc12:66059-
Appears in Collections:Jahrestagung des Vereins für Socialpolitik 2012: Neue Wege und Herausforderungen für den Arbeitsmarkt des 21. Jh.

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