Economics at your fingertips  

Globalization and the decline in labor shares: Exploring the relationship beyond trade and financial flows

Andrew T. Young and Maria Y. Tackett

European Journal of Political Economy, 2018, vol. 52, issue C, 18-35

Abstract: We employ data from up to 125 countries during the 1970–2009 period to explore the relationship between globalization and labor share. Existing studies report a negative relationship between trade and investment flows and labor shares. While we also find that economic flows are often negatively related to labor shares, measures of social globalization tend to be positively related to labor shares. While greater mobility of goods and capital may be associated with increases in capital's bargaining power, all else equal, greater flows of information, ideas, and people may increase the bargaining power of workers.

Keywords: O50; O15; J61; labor share; capital share; globalization; functional distribution of income (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

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:

DOI: 10.1016/j.ejpoleco.2017.04.003

Access Statistics for this article

European Journal of Political Economy is currently edited by J. De Haan, A. L. Hillman and H. W. Ursprung

More articles in European Journal of Political Economy from Elsevier
Bibliographic data for series maintained by Haili He ().

Page updated 2020-08-08
Handle: RePEc:eee:poleco:v:52:y:2018:i:c:p:18-35