Labor market aspects of enclave-led growth

Ronald Winthrop Jones and Sugata Marjit

No 179, Discussion Papers, Series II from University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy"

Abstract: The parpose of this paper is to model and describe the consequences for labor markets in an underdeveloped economy of foreign Investment in an enclave sector.Foreign technology tends to expose some of the hidden talents in the local labor force.Replacement of foreign labor by domestic labor coupled with a process of skill revelation generate non monotonic wage and profit movements in the lQcal economy.We also discuss the effects of growth and skill development on the pattern of wage movement and the exit period of foreign personnel both in the fixed and variable proportions cases.

Date: 1992
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Related works:
Journal Article: Labour-Market Aspects of Enclave-Led Growth (1995)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:kondp2:179

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