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The Impact of Trade and Capital Movements on Labour: Evidence on the French Case

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  • Patrick Messerlin

    (GEM - Groupe d'économie mondiale - Sciences Po - Sciences Po)

Abstract

This paper examines the impact of trade and capital movements on French employment and relative wages. It provides three results. First, trade has a modest impact on total employment. Second, trade has a strong impact on relative wages; the paper provides evidence supporting the saying that liberal trade is associated with better jobs rather than more jobs. Lastly, the paper shows that outward FDI is essentially done by exporting sectors and that inward FDI (which is broadly the same magnitude) occurs in the downsizing industries as well as in the exporting sectors.

Suggested Citation

  • Patrick Messerlin, 1995. "The Impact of Trade and Capital Movements on Labour: Evidence on the French Case," Post-Print hal-00972837, HAL.
    • Handle: RePEc:hal:journl:hal-00972837
    Note: View the original document on HAL open archive server: https://sciencespo.hal.science/hal-00972837
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    File URL: https://sciencespo.hal.science/hal-00972837/document
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    References listed on IDEAS

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    1. Richard A. Brecher, 1974. "Minimum Wage Rates and the Pure Theory of International Trade," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 88(1), pages 98-116.
    2. Faini, Riccardo & Venturini, Alessandra, 1993. "Trade, aid and migrations: Some basic policy issues," European Economic Review, Elsevier, vol. 37(2-3), pages 435-442, April.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Vrh, Nataša, 2015. "Pay-off to Participation in Global Value Chains: How Much are New EU Member States Lagging behind the Rest of EU Countries in Terms of Domestic Value Added in Exports?," MPRA Paper 67805, University Library of Munich, Germany.
    2. repec:hal:spmain:info:hdl:2441/685 is not listed on IDEAS
    3. Guillaume Daudin & Sandrine Levasseur, 2005. "Délocalisations et concurrence des pays émergents : mesurer l'effet sur l'emploi en France," Revue de l'OFCE, Presses de Sciences-Po, vol. 94(3), pages 131-160.
    4. repec:hal:wpspec:info:hdl:2441/693 is not listed on IDEAS
    5. Greenaway, David & Hine, Robert C. & Wright, Peter, 1999. "An empirical assessment of the impact of trade on employment in the United Kingdom," European Journal of Political Economy, Elsevier, vol. 15(3), pages 485-500, September.
    6. repec:spo:wpmain:info:hdl:2441/685 is not listed on IDEAS
    7. Farrokh Nourzad, 2005. "Macroeconomic and Sectoral Effects of International Trade: A Vector Error-Correction Study," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 33(1), pages 43-54, March.
    8. Tran Nhuan KIEN & Yoon HEO, 2009. "Impacts Of Trade Liberalization On Employment In Vietnam: A System Generalized Method Of Moments Estimation," The Developing Economies, Institute of Developing Economies, vol. 47(1), pages 81-103, March.
    9. Antonia Lòpez-Villavicencio & Luis Antonio Reyes Ortiz, 2018. "Is globalisation taking away jobs? An empirical assessment for advanced economies," CEPN Working Papers halshs-01895223, HAL.
    10. repec:spo:wpecon:info:hdl:2441/693 is not listed on IDEAS
    11. repec:spo:wpmain:info:hdl:2441/693 is not listed on IDEAS
    12. Antonia Lòpez-Villavicencio & Luis Antonio Reyes Ortiz, 2018. "Is globalisation taking away jobs? An empirical assessment for advanced economies," Working Papers halshs-01895223, HAL.
    13. repec:hal:spmain:info:hdl:2441/693 is not listed on IDEAS
    14. Guillaume Daudin & Sandrine Levasseur, 2005. "Appendix 8 : Measuring the effect of international relocations on French economy," SciencePo Working papers Main hal-01073900, HAL.

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