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International Trade and the Changing Demand for Skilled Workers in High‐Tech Manufacturing
Author(s) -
SILVA JULIE A.
Publication year - 2008
Publication title -
growth and change
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.657
H-Index - 55
eISSN - 1468-2257
pISSN - 0017-4815
DOI - 10.1111/j.1468-2257.2008.00418.x
Subject(s) - high tech , manufacturing sector , manufacturing , business , work (physics) , economics , telecommunications equipment , labour economics , international trade , industrial organization , marketing , mechanical engineering , political science , law , engineering , electrical engineering
States and localities in the U.S. put considerable effort into attracting and maintaining high‐tech manufacturing industries to preserve manufacturing employment. However, little work has examined whether high‐tech industries respond differently than traditional manufacturing to changing trade pressures. This study investigates the impact of international trade on skilled and unskilled labor demand across manufacturing sectors. Results of this study indicate that changes in exchange rates and trade orientation have similar effects across high‐tech and traditional manufacturing sectors. In addition, findings suggest that there is a high degree of variation in the trade‐related effects on labor demand across individual high‐tech sectors, and that the direction of these effects often runs counter to the predictions of traditional trade theory.