Description
Title: The Effects of the China Shock on Informality in the Labor Market on Brazilian Manufacturing Workers
Abstract: The Chinese economy’s rapid expansion and growing prominence in global trade may have had a significant negative impact on developing nations. In order to evaluate the effects of import competition on Brazil’s manufacturing formal and informal labor markets, this study looks at the significant increase in the country’s exposure to international trade between 2000 and 2012. Brazil’s import penetration increased by more than 20% during this time, and the percentage of that penetration that came from China rose from 3 to 20%. In parallel, the percentage of undocumented workers in manufacturing decreased from 27 to roughly 15%. This study, which uses data from the Brazilian household survey and a switching regression model, finds that the likelihood of jobs becoming informal increases with increasing industry-level Chinese and “rest of the world” import penetration, though the effects are less pronounced in manufacturing states and unskilled labor intensive industries. Additionally, the average informal wage is positively impacted by both types of import penetration. The estimates, however, indicate that imports from other countries have the opposite impact from Chinese imports, which lower average formal wages. The findings also show that the degree to which an industry relies on unskilled labor and whether a worker is located in a manufacturing state both influence the magnitude of wage effects.
Keywords: Brazil; China; import penetration; informal labor markets; wages
Paper Quality: SCOPUS / Web of Science Level Research Paper
Subject: Economics
Writer Experience: 20+ Years
Plagiarism Report: Turnitin Plagiarism Report will be less than 10%
Restriction: Only one author may purchase a single paper. The paper will then indicate that it is out of stock.
What will I get after the purchase?
A turnitin plagiarism report of less than 10% in a pdf file and a full research paper in a word document.
In case you have any questions related to this research paper, please feel free to call/ WhatsApp on +919726999915
Reviews
There are no reviews yet.