Gender, informal employment and trade liberalization in Mexico

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Ben Yahmed, Sarra and Bombarda, Pamela (2020) Gender, informal employment and trade liberalization in Mexico. World Bank Economic Review, 34 (2). pp. 259-283. ISSN 0258-6770

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Abstract

This paper studies how import liberalization affects formal employment across gender. The theory offers a mechanism to explain how male and female formal employment shares can respond differently to trade liberalization through labor reallocation across tradable and nontradable sectors. Using Mexican data over the period 1993-2001, we find that Mexican tariff cuts increase the probability of working formally for both men and women within four-digit manufacturing industries. The formalization of jobs within tradable sectors is driven by large firms. Constructing a regional tariff measure, we find that regional exposure to import liberalization increases the probability of working formally in the manufacturing sector for both men and women, and especially for men. However in the service sectors, the probability of working formally decreases for low-skilled women.

Item Type: Article
Additional Information: Publisher Copyright: © 2019 The Author(s) 2019. Published by Oxford University Press on behalf of the International Bank for Reconstruction and Development/THE WORLD BANK.
Uncontrolled Keywords: formal and informal labor,gender,mexico,trade liberalization,accounting,development,finance,economics and econometrics,sdg 8 - decent work and economic growth ,/dk/atira/pure/subjectarea/asjc/1400/1402
Faculty \ School: Faculty of Social Sciences > School of Economics
UEA Research Groups: Faculty of Social Sciences > Research Groups > Applied Econometrics And Finance
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Depositing User: LivePure Connector
Date Deposited: 16 Aug 2024 08:30
Last Modified: 25 Sep 2024 18:02
URI: https://ueaeprints.uea.ac.uk/id/eprint/96260
DOI: 10.1093/wber/lhy020

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