Workers'age and the impact of trade shocks

Erhan Artuc

No 6035, Policy Research Working Paper Series from The World Bank

Abstract: Do trade shocks affect workers differently because of their age? This paper examines the issue by estimating the lifetime mobility of workers based on the sectors in which they work. Using U.S. data, the paper shows that mobility costs rise with a worker's age and years of experience, but stay the same regardless of his or her education level. In addition, using a general-equilibrium simulation of counterfactual trade-liberalization policies in the metal manufacturing sector, the paper shows that trade shocks affect workers with higher mobility costs more, for both winners and losers of the policy shocks. But the effects taper off over a worker's lifetime, especially when they are close to retirement.

Keywords: Economic Theory&Research; Labor Markets; Tertiary Education; Labor Policies; Trade Policy (search for similar items in EconPapers)
Date: 2012-04-01
New Economics Papers: this item is included in nep-age, nep-int and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:wbk:wbrwps:6035

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