Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/86934 
Year of Publication: 
2011
Series/Report no.: 
Tinbergen Institute Discussion Paper No. 11-060/3
Publisher: 
Tinbergen Institute, Amsterdam and Rotterdam
Abstract: 
Several studies have identified the impact of trade liberalization in developing countries on the return to education within a Mincerian framework through a difference-in-difference estimator or with industry-level measures of trade openness. These studies have typically estimated the return to education in terms of changes in wages rather than employment, effectively ignoring the fact that trade liberalization affects not only wages but also employment opportunities. In this paper we use four large-scale representative household surveys from Vietnam for the period 1998-2006 to estimate the impact of trade liberalization on the return to education taking into account both changes in wages and employment. The results show that the impact was large in Vietnam but is severely underestimated if changes in employment opportunities are ignored.
Subjects: 
trade liberalization
return to education
employment
Vietnam
JEL: 
F16
J21
J31
O1
Document Type: 
Working Paper

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