A Mapping of Labor Mobility Costs in the Developing World

Erhan Artuc, Daniel Lederman and Guido Porto

CEDLAS, Working Papers from CEDLAS, Universidad Nacional de La Plata

Abstract: Estimates of labor mobility costs are needed to assess the responses of employment and wages to a trade shock when factor adjustment is costly. Available methods to estimate those costs rely on panel data, which are seldom available in developing countries. In this paper, we propose a method to estimate mobility costs using data that is more easily obtainable worldwide. Our estimator matches observed employment flows with those flows predicted by a model of costly labor adjustment. We estimate a mapping of labor mobility costs for the developing world and we use those estimates to explore the response of labor markets (wages and employment) to trade policy.

JEL-codes: D58 F16 J2 J6 (search for similar items in EconPapers)
Pages: 49 pages
Date: 2013-07
New Economics Papers: this item is included in nep-int, nep-lab and nep-ltv
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

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Related works:
Journal Article: A mapping of labor mobility costs in the developing world (2015)
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Persistent link: https://EconPapers.repec.org/RePEc:dls:wpaper:0146

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