Inflow of labour, producer services and wage inequality

Jingjing Zhang

    Research output: Contribution to journalArticlepeer-review

    23 Citations (Scopus)

    Abstract

    This paper examines the issue of skilled–unskilled wage inequality in the shortrun when varieties of producer services are traded. It is shown that, irrespective of the relative size of income share of capital, inflow of neither skilled nor unskilled labour affects skilled–unskilled wage inequality. However, an increase in (i) the level of competition in the services sector and (ii) relative price of the varieties of producer services can affect the level of wage inequality.
    Original languageEnglish
    Pages (from-to)600-603
    Number of pages4
    JournalEconomics Letters
    Volume117
    Issue number3
    DOIs
    Publication statusPublished - 2012

    Keywords

    • effect of labor mobility on
    • globalisation
    • labour mobility
    • pay equity
    • producer services
    • wages

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