IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-00972837.html
   My bibliography  Save this paper

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

Author

Listed:
  • 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
    as

    Download full text from publisher

    File URL: https://sciencespo.hal.science/hal-00972837/document
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    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)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    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. 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.
    3. repec:hal:spmain:info:hdl:2441/685 is not listed on IDEAS
    4. 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.
    5. repec:hal:wpspec:info:hdl:2441/693 is not listed on IDEAS
    6. 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.
    7. 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.
    8. 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.
    9. repec:spo:wpecon:info:hdl:2441/693 is not listed on IDEAS
    10. repec:spo:wpmain:info:hdl:2441/693 is not listed on IDEAS
    11. Antonia Lòpez-Villavicencio & Luis Antonio Reyes Ortiz, 2018. "Is globalisation taking away jobs? An empirical assessment for advanced economies," Working Papers halshs-01895223, HAL.
    12. repec:hal:spmain:info:hdl:2441/693 is not listed on IDEAS
    13. repec:spo:wpmain:info:hdl:2441/685 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.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. repec:spo:wpmain:info:hdl:2441/7907 is not listed on IDEAS
    2. repec:hal:wpspec:info:hdl:2441/7907 is not listed on IDEAS
    3. repec:hal:spmain:info:hdl:2441/7907 is not listed on IDEAS
    4. repec:spo:wpecon:info:hdl:2441/7907 is not listed on IDEAS
    5. Patrick Messerlin, 1995. "The Impact of Trade and Capital Movements on Labour: Evidence on the French Case," SciencePo Working papers Main hal-00972837, HAL.
    6. Askarov, Zohid & Doucouliagos, Hristos, 2015. "Spatial aid spillovers during transition," European Journal of Political Economy, Elsevier, vol. 40(PA), pages 79-95.
    7. repec:dgr:rugsom:00c21 is not listed on IDEAS
    8. Kala Krishna & Abhiroop Mukhopadhyay & Cemile Yavas, 2005. "Trade with Labor Market Distortions and Heterogeneous Labor: Why Trade Can Hurt," Contributions to Economics, in: Günter S. Heiduk & Kar-yiu Wong (ed.), WTO and World Trade, pages 65-83, Springer.
    9. Ilham Haouas & Mahmoud Yagoubi & Almas Heshmati, 2005. "The impacts of trade liberalization on employment and wages in Tunisian industries," Journal of International Development, John Wiley & Sons, Ltd., vol. 17(4), pages 527-551.
    10. Nakakuki, Masayuki & Otani, Akira & Shiratsuka, Shigenori, 2004. "Distortions in Factor Markets and Structural Adjustments in the Economy," Monetary and Economic Studies, Institute for Monetary and Economic Studies, Bank of Japan, vol. 22(2), pages 71-99, May.
    11. Oslington, Paul, 2005. "Trade and the distributional politics of international labour standards," MPRA Paper 963, University Library of Munich, Germany.
    12. Bharat Hazari, 1978. "The theory of wage differentials, induced technical progress and the pure theory of International trade," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 114(1), pages 146-159, March.
    13. Sebastian Edwards, 1987. "Economics Liberalization and the Equilibrium Real Exchange Rate in Developing Countries," UCLA Economics Working Papers 433, UCLA Department of Economics.
    14. Xinpeng Xu & Yu Sheng, 2014. "Terms of Trade Shocks and Endogenous Search Unemployment: A Two-Sector Model with Non-Traded Goods," Pacific Economic Review, Wiley Blackwell, vol. 19(2), pages 201-215, May.
    15. Hans‐Werner Sinn, 2006. "Das deutsche Rätsel: Warum wir Exportweltmeister und Schlusslicht zugleich sind," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 7(1), pages 1-18, February.
    16. Hazari, Bharat R. & Sgro, Pasquale M., 2000. "Wage indexation, migration, and unemployment," International Review of Economics & Finance, Elsevier, vol. 9(3), pages 257-265, July.
    17. Jean-Claude Berthélemy & Mathilde Maurel, 2009. "The consistency of EU foreign policies towards new member states," European Economy - Economic Papers 2008 - 2015 365, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    18. David Hummels & Jakob R. Munch & Chong Xiang, 2018. "Offshoring and Labor Markets," Journal of Economic Literature, American Economic Association, vol. 56(3), pages 981-1028, September.
    19. Akkoyunlu Åžule & Gil Epstein & Ira Gang, 2022. "Migration and University Education: An Empirical (Macro) Link," RF Berlin - CReAM Discussion Paper Series 2211, Rockwool Foundation Berlin (RF Berlin) - Centre for Research and Analysis of Migration (CReAM).
    20. Maskus, Keith E., 1997. "Should core labor standards be imposed through international trade policy?," Policy Research Working Paper Series 1817, The World Bank.
    21. repec:spo:wpmain:info:hdl:2441/6362 is not listed on IDEAS
    22. Chao, Chi-Chur & Hazari, Bharat R. & Sgro, Pasquale M. & Laffargue, Jean-Pierre & Yu, Eden S.H., 2005. "Tourism, Jobs, Capital Accumulation and the Economy: A Dynamic Analysis," Natural Resources Management Working Papers 12149, Fondazione Eni Enrico Mattei (FEEM).
    23. Bai, Xue & Chatterjee, Arpita & Krishna, Kala & Ma, Hong, 2021. "Trade and minimum wages in general equilibrium: Theory and evidence," Journal of International Economics, Elsevier, vol. 133(C).
    24. Egger, Hartmut & Etzel, Daniel, 2012. "The impact of trade on employment, welfare, and income distribution in unionized general oligopolistic equilibrium," European Economic Review, Elsevier, vol. 56(6), pages 1119-1135.
    25. Sule Akkoyunlu, 2010. "Can trade, aid, foreign direct investments and remittances curb migration from Turkey?," Migration Letters, Migration Letters, vol. 7(2), pages 144-158, October.
    26. Hartmut Egger & Simone Habermeyer, 2019. "Nonhomothetic preferences and rent sharing in an open economy," CESifo Working Paper Series 7522, CESifo.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-00972837. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.