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Globalization and Wage Differential in the case of Pakistan

Author

Listed:
  • Chan Bibi

    (Women Campus, International Islamic University, Islamabad, Pakistan.)

  • Adeela Hussain

    (National College of Business Administration and Economics, Multan Campus, Pakistan.)

Abstract

This paper has examined that the relationship of the wage differential and globalization in the case of Pakistan. The wage differential and globalization and rural urban population are the selected variables to check the impact of globalization on the wage differential. The Augmented Dickey Fuller test and unit root test is used for analytical the stationarity of the variables. Autoregressive distributed lag (ARDL) model is used to scrutinizing the co-integration among the variables of the model. The results of the model show that the globalization has a positive or significant relationship with the wage differential, the estimated results show that the rural population is positive or significant results. The urban population creates a negative or significant result of this model. The wage structure over the period of time has calculated.

Suggested Citation

  • Chan Bibi & Adeela Hussain, 2018. "Globalization and Wage Differential in the case of Pakistan," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 7(3), pages 110-121, September.
    • Handle: RePEc:rfh:bbejor:v:7:y:2018:i:3:p:110-121
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    References listed on IDEAS

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    More about this item

    Keywords

    wage differential; population; economic globalization;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • P23 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Factor and Product Markets; Industry Studies; Population

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