Is International Trade Always Beneficial to Labor Markets? A Case Study from Egypt

The Arab Republic of Egypt's industries rely heavily on imported goods for production. Thus, an increase in imports could have a potentially positive effect on the labor market as it means more inputs for the production of exporting goods. Alternatively, minimal backward linkages in global valu...

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Bibliographic Details
Main Author: Robertson, Raymond
Other Authors: Lopez-Acevedo, Gladys, Vergara, Mexico
Format: eBook
Language:English
Published: Washington, D.C The World Bank 2022
Subjects:
Online Access:
Collection: World Bank E-Library Archive - Collection details see MPG.ReNa
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245 0 0 |a Is International Trade Always Beneficial to Labor Markets?  |h Elektronische Ressource  |b A Case Study from Egypt  |c Raymond Robertson 
260 |a Washington, D.C  |b The World Bank  |c 2022 
300 |a 31 pages 
653 |a Bartik Instruments 
653 |a Labor Market 
653 |a Macroeconomics and Economic Growth 
653 |a Female Labor Force Participation 
653 |a Rural Labor Markets 
653 |a Rural Development 
653 |a Informality 
653 |a Trade 
653 |a International Economics and Trade 
653 |a Econometrics 
653 |a International Trade Case Study 
653 |a Inequity 
653 |a Imports 
653 |a Trade Liberalization 
653 |a Competition Policy 
700 1 |a Lopez-Acevedo, Gladys 
700 1 |a Vergara, Mexico 
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520 |a The Arab Republic of Egypt's industries rely heavily on imported goods for production. Thus, an increase in imports could have a potentially positive effect on the labor market as it means more inputs for the production of exporting goods. Alternatively, minimal backward linkages in global value chains could also mean that increasing imports substitute for domestic production and, thus, lost employment opportunities. This paper evaluates the relationship between regional trade agreements using a gravity model and import flows to test whether rising imports have impacted wages, informality, and female labor force participation. The results suggest that imports are not to blame for disappointing labor market outcomes in Egypt