The Impact of Trade Liberalization on the Return to Education in Vietnam: Wage versus Employment Effect

Remco Oostendorp and Doan Hong Quang ()
Additional contact information
Doan Hong Quang: World Bank Country Office, and Centre for Analysis and Forecasting (CAF), Vietnam

No 11-060/3, Tinbergen Institute Discussion Papers from Tinbergen Institute

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.

Keywords: trade liberalization; return to education; employment; Vietnam (search for similar items in EconPapers)
JEL-codes: F16 J21 J31 O1 (search for similar items in EconPapers)
Date: 2011-03-28, Revised 2011-04-04
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
https://papers.tinbergen.nl/11060.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tin:wpaper:20110060

Access Statistics for this paper

More papers in Tinbergen Institute Discussion Papers from Tinbergen Institute Contact information at EDIRC.
Bibliographic data for series maintained by Tinbergen Office +31 (0)10-4088900 ().