Winners and Losers from a Commodities-for-Manufactures Trade Boom

Francisco Costa, Jason Garred and João Paulo Pessoa

CEP Discussion Papers from Centre for Economic Performance, LSE

Abstract: A recent boom in commodities-for-manufactures trade between China and other developing countries has led to much concern about the losers from rising import competition in manufacturing, but little attention on the winners from growing Chinese demand for commodities. Using census data for Brazil, we find that local labour markets more affected by Chinese import competition experienced slower growth in manufacturing wages and in-migration rates between 2000 and 2010, and greater rises in local wage inequality. However, in locations benefiting from rising Chinese demand, we observe higher wage growth, lower takeup of cash transfers and positive effects on job quality.

Keywords: China; trade; commodities-for manufactures; wages; employment; informality (search for similar items in EconPapers)
JEL-codes: F14 F16 O17 Q17 (search for similar items in EconPapers)
Date: 2014-05
New Economics Papers: this item is included in nep-cna, nep-int and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

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Related works:
Journal Article: Winners and losers from a commodities-for-manufactures trade boom (2016)
Working Paper: Winners and Losers from a Commodities-for-Manufactures Trade Boom (2016)
Working Paper: Winners and Losers from a Commodities-for-Manufactures Trade Boom (2016)
Working Paper: Winners and losers from a commodities-for-manufactures trade boom (2014)
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