Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/141573
Authors: 
Lake, James
Millimet, Daniel L.
Year of Publication: 
2016
Series/Report no.: 
IZA Discussion Papers 9814
Abstract: 
Using US local labor markets between 1990 and 2010, we analyze the heterogeneous impact of rising trade exposure on employment growth of 'good' and 'bad' jobs. Three salient findings emerge. First, rising local exposure to import competition, via falling US tariffs or rising Chinese import penetration, reduces (increases) employment growth of bad (good) jobs. Conversely, improved local access to export markets, via falling foreign tariffs, increases (reduces) employment growth of bad (good) jobs. Second, falling US tariff protection is substantially more important, economically and statistically, than rising Chinese import penetration. Third, globalization generates occupational polarization but not job polarization.
Subjects: 
trade liberalization
China
local labor markets
job polarization
occupational polarization
JEL: 
F13
J21
J31
Document Type: 
Working Paper

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