Trends in Tariff Reforms and in the Structure of Wages
Sebastian Galiani and Guido G Porto
,
3
(
92
)
The Review of Economics and Statistics
482-494
August
2010
Abstract
This paper provides new evidence on the impacts of trade reforms on wages. We first introduce a model of trade that combines a noncompetitive wage-setting mechanism due to unions with a factor abundance hypothesis. The predictions of the model are then econometrically investigated using Argentine data.