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The Manufacturing Wage Inequality in Latin America and East Asia: Openness, Technology Transfer, and Labor Supply
Author(s) -
Avalos Antonio,
Savvides Andreas
Publication year - 2006
Publication title -
review of development economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.531
H-Index - 50
eISSN - 1467-9361
pISSN - 1363-6669
DOI - 10.1111/j.1467-9361.2006.00330.x
Subject(s) - openness to experience , economics , latin americans , wage inequality , wage , inequality , east asia , labour economics , manufacturing sector , supply and demand , macroeconomics , political science , psychology , social psychology , mathematical analysis , mathematics , china , law
This paper examines wage inequality in the manufacturing sector for a panel of Latin American and East Asian economies during the last three decades. A labor supply and demand model is presented where three main determinants of wage inequality are investigated: trade openness, technology transfer, and labor supply. Findings indicate that wage inequality in the two regions has responded differently to the various determinants enumerated above. Some lessons from the comparative experience of the two regions are drawn.