The Generalized System of Preferences and NGO Activism

Lionel Fontagné and Michela Limardi ()
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Michela Limardi: CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, RIME-Lab - Recherche Interdisciplinaire en Management et Économie Lab - ULR 7396 - UA - Université d'Artois - Université de Lille

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Abstract: Can preferential market access help to enforce Labor Laws in beneficiary countries? The US Generalized System of Preferences (GSP) is accorded conditional on compliance with labor rights and leaves room for petitioning and revising the scheme upon request by interest groups. Using data from Indonesian Manufacturing firms, we show that GSP renegotiation combined with the activism of workers' rights groups helped increase firm-level average wages up to the minimum-wage level, not only inside but also outside the export sector. GSP leverage allowed labor NGOs to act more effectively by putting the violation of national Labor Laws under the international spotlight.

Keywords: GSP; labor standards; NGOs; wage determination (search for similar items in EconPapers)
Date: 2021-06
New Economics Papers: this item is included in nep-sea
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-03223795v2
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Citations: View citations in EconPapers (1)

Published in 2021

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Related works:
Journal Article: The Generalized System of Preferences and NGO activism (2024)
Working Paper: The Generalized System of Preferences and NGO activism (2024)
Working Paper: The Generalized System of Preferences and NGO activism (2024)
Working Paper: The Generalized System of Preferences and NGO activism (2024)
Working Paper: The Generalized System of Preferences and NGO Activism (2021)
Working Paper: The Generalized System of Preferences and NGO Activism (2021)
Working Paper: The Generalized System of Preferences and NGO Activism (2021)
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