Globalization and Inequality

A special issue of Economies (ISSN 2227-7099).

Deadline for manuscript submissions: closed (30 June 2015) | Viewed by 14631

Special Issue Editor


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Guest Editor
The Maxwell School of Citizenship and Public Affairs, Syracuse University, Syracuse, NY 13244, USA
Interests: international trade; political economy; development economics

Special Issue Information

Dear Colleagues,

The special issue will cover the impact on inequality of all aspects of economic globalization, such as international trade (including offshoring), and international mobility of labor and capital. A broad view of inequality will be taken in that papers on the impact of globalization on general income inequality, wage inequality, employment and unemployment and the quality of employment will be eligible for consideration. We welcome the submission of articles based on original theoretical and/or empirical research, analytical survey papers and policy-oriented think pieces.

Prof. Dr. Devashish Mitra
Guest Editor

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Published Papers (2 papers)

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Research

479 KiB  
Article
The Redistribution of Trade Gains When Income Inequality Matters
by Marco De Pinto
Economies 2015, 3(4), 186-215; https://doi.org/10.3390/economies3040186 - 28 Oct 2015
Cited by 2 | Viewed by 6478
Abstract
How does a redistribution of trade gains affect welfare when income inequality matters? To answer this question, we extend the [1] model to unionized labor markets and heterogeneous workers. As redistribution schemes, we consider unemployment benefits that are financed either by a wage [...] Read more.
How does a redistribution of trade gains affect welfare when income inequality matters? To answer this question, we extend the [1] model to unionized labor markets and heterogeneous workers. As redistribution schemes, we consider unemployment benefits that are financed either by a wage tax, a payroll tax or a profit tax. Assuming that welfare declines in income inequality, we find that welfare increases up to a maximum in the case of wage tax funding, while welfare declines weakly (sharply) if a profit tax (payroll tax) is implemented. These effects are caused by the wage tax neutrality (due to union wage setting) and by a profit tax-induced decline in long-term unemployment. As a result, the government’s optimal redistribution scheme is to finance unemployment benefits by a wage tax. Full article
(This article belongs to the Special Issue Globalization and Inequality)
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331 KiB  
Article
How Offshoring Can Affect the Industries’ Skill Composition
by Daniel Horgos and Lucia Tajoli
Economies 2015, 3(2), 72-99; https://doi.org/10.3390/economies3020072 - 15 May 2015
Cited by 2 | Viewed by 7720
Abstract
While most of the offshoring literature focuses on the effects on relative wages, other implications do not receive the necessary attention. This paper investigates the effects on the industries’ skill ratio. It summarizes the empirical literature, discusses theoretical findings, and provides empirical evidence [...] Read more.
While most of the offshoring literature focuses on the effects on relative wages, other implications do not receive the necessary attention. This paper investigates the effects on the industries’ skill ratio. It summarizes the empirical literature, discusses theoretical findings, and provides empirical evidence for Germany. As results show, effects are mainly driven by the industry where offshoring takes place. If offshoring takes place in high-skill intensive industries, the high-skill labor ratio increases (vice versa if offshoring takes place in low-skill intensive industries). Results are in line with other empirical findings, however, they seem to contradict theoretical causalities. Thus, we additionally discuss possible explanations. Full article
(This article belongs to the Special Issue Globalization and Inequality)
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