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Cited by 169Global trade and economicsIncome, Poverty, and InequalityLabor market dynamics and wage inequality

The Impact of Trade on Inequality in Developing Countries

Open access
Pavcnik, Nina·2017·National Bureau of Economic Research
DOI 10.3386/w23878
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Abstract

This paper assesses the current state of evidence on how international trade shapes inequality and poverty through its influence on earnings and employment opportunities.While the focus is mainly on developing countries, in part because we have more evidence in that context, the discussion draws parallels to the empirical evidence from developed countries.The paper also discusses perceptions about international trade in over 40 countries at different levels of development, including perceptions on trade's overall benefits for the economy, trade's effect on the livelihood of workers through wages and jobs, and trade's contribution to inequality.The paper concludes with a survey of evidence on several policies that could mitigate the adverse effects of import competition.

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  • A key source of resentment is related to the distributional effects of international trade.

    “As many commentators have pointed out (see Pavcnik, 2017, Rodrik, 2020), a key source of resentment is related to the distributional effects of international trade.”

    From De-Globalisation? Global Value Chains in the Post-COVID-19 Age (2020) · cites this paper as Pavcnik, 2017

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Authors
Pavcnik, N.
Affiliations
Dartmouth College (US)
Corresponding author
Pavcnik, Nina
Venue
National Bureau of Economic Research
Publisher
National Bureau of Economic Research
Published
2017-09
DOI
10.3386/w23878
OpenAlex
W2759333965
Cited by
169
References
6
Citations by year
2026: 9 · 2025: 13 · 2024: 18 · 2023: 20 · 2022: 34 · 2021: 25 · 2020: 19 · 2019: 20 · 2018: 10 · 2017: 1
Type
report
Language
en
Open access
Locations
  • National Bureau of Economic Research (publishedVersion)
  • RePEc: Research Papers in Economics (submittedVersion)
  • National Bureau of Economic Research (submittedVersion)
Topics
  • Social Sciences › Economics, Econometrics and Finance › General Economics, Econometrics and Finance › Global trade and economics
  • Social Sciences › Sociology and Political Science › Income, Poverty, and Inequality
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Labor market dynamics and wage inequality
Keywords
international trade, income inequality, poverty, earnings, employment, developing countries, import competition, trade policy, wages

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