Unemployment in Models of International Trade

Udo Kreickemeier

Chapter 5 in Globalisation and Labour Market Adjustment, 2008, pp 73-96 from Palgrave Macmillan

Abstract: Abstract In recent years, there has been a growing interest among trade theorists in the links between international trade and labour market distortions. The contributions to this literature employ microeconomic models of labour market distortions and combine them with a multi-sector model of an open economy. Typically, the labour market models employed in this context use either search theory or efficiency wage theory. The chapter by Davidson and Matusz in this volume considers the search theoretic models in some detail, which is why the focus of this chapter is on the efficiency wage literature.

Keywords: Minimum Wage; Efficiency Wage; Wage Model; Capital Intensity; Fair Wage (search for similar items in EconPapers)
Date: 2008
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DOI: 10.1057/9780230582385_5

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