CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages

This study analyzes the impact on male and female wages of tariff reform and the reduction of regulatory barriers faced by domestic and foreign firms operating in business services. The study applies the model to Tanzania and develops a data set th...

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Bibliographic Details
Main Author: Latorre, Maria C.
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank Group, Washington, DC 2014
Subjects:
GDP
SEX
WTO
Online Access:http://documents.worldbank.org/curated/en/2014/10/20309724/cge-analysis-impact-foreign-direct-investment-tariff-reform-female-male-wages
http://hdl.handle.net/10986/20501
id okr-10986-20501
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACCOUNTING
ADULT MALE
ADULT MALES
ADULT WOMEN
AGRICULTURE
BENCHMARK
BENCHMARK DATA
CAPACITY BUILDING
CHILD LABOR
CLERKS
COMPETITIVE MODELS
CONSTANT RETURNS TO SCALE
CONSUMERS
DEREGULATION
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
DOMESTIC MARKET
DOWNWARD PRESSURE
ECONOMIC ANALYSIS
ECONOMIC INTEGRATION
ECONOMIC MODELS
ECONOMIC RESEARCH
ECONOMIC RESOURCES
ECONOMIC STRUCTURE
ECONOMICS
ELASTICITY
ELASTICITY OF SUBSTITUTION
EMPLOYEE
EMPLOYMENT TRENDS
EQUILIBRIUM
EXPORTS
EXTERNALITY
FACTOR MARKETS
FEMALE
FEMALE LABOR
FEMALES
GDP
GENDER
GENDER ASPECTS
GENDER DIFFERENCE
GENDER DIFFERENCES
GENDER EQUALITY
GENDER INEQUALITIES
GENDERS
GENERAL EQUILIBRIUM
GENERAL EQUILIBRIUM ANALYSIS
GENERAL EQUILIBRIUM MODELS
HOTELS
HOUSEHOLDS
HUMAN CAPITAL
HUMAN RESOURCES
IMPERFECT COMPETITION
IMPORT QUOTAS
INCREASING RETURNS
INCREASING RETURNS TO SCALE
INDUSTRY WAGE
INFORMAL ECONOMY
INFORMAL EMPLOYMENT
INFORMAL SECTOR
INSURANCE
JOB SEPARATION
JOB TURNOVER
JOBS
LABOR DEMAND
LABOR ECONOMICS
LABOR FORCE
LABOR INTENSITIES
LABOR INTENSITY
LABOR MARKET
LABOR MARKET DISCRIMINATION
LABOR MARKET OUTCOMES
LABOR MARKETS
LABOR MOBILITY
LABOR RELATIONS
LABOR SUBSTITUTION EFFECT
LABOR SUPPLY
LABOR UNIONS
LABOR-INTENSIVE TECHNOLOGIES
LABORERS
LABOUR
LABOUR FORCE
LABOUR MARKET
LABOUR OFFICE
LABOUR SHARE
MALE WORKERS
MARGINAL COSTS
MARGINAL PRODUCT
MARGINAL PRODUCTIVITY
MARGINAL PRODUCTS
MARGINAL REVENUE
MARKET CLEARING WAGES
MARRIED WOMEN
MONOPOLISTIC COMPETITION
MOTHERHOOD
MOTIVATION
NATIONAL INCOME
OCCUPATION
OCCUPATIONAL CLASSIFICATION
OCCUPATIONS
OPEN ECONOMY
POLITICAL ECONOMY
PREVIOUS PARAGRAPH
PRODUCT DIFFERENTIATION
PRODUCT PRICES
PRODUCTIVE FIRMS
PRODUCTIVITY
PRODUCTIVITY EFFECTS
PRODUCTIVITY GAINS
REAL WAGES
RETAIL TRADE
RURAL AREAS
SERVICE PROVIDERS
SERVICE SECTOR
SEX
SEXES
SHELTER
SUBSTITUTION EFFECT
TOTAL COSTS
TRADE LIBERALIZATION
TRADE POLICY
UNEMPLOYED
UNEMPLOYMENT
UNSKILLED WORKERS
URBAN AREAS
VALUE ADDED
WAGE DATA
WAGE DIFFERENTIAL
WAGE DIFFERENTIALS
WAGE DISCRIMINATION
WAGE GAP
WAGE INCREASES
WAGE INEQUALITY
WAGE POLICIES
WAGE RATE
WAGE RATES
WAGES
WOMAN
WORKER
WORLD TRADE ORGANIZATION
WTO
YOUNG WORKER
YOUNG WORKERS
spellingShingle ACCOUNTING
ADULT MALE
ADULT MALES
ADULT WOMEN
AGRICULTURE
BENCHMARK
BENCHMARK DATA
CAPACITY BUILDING
CHILD LABOR
CLERKS
COMPETITIVE MODELS
CONSTANT RETURNS TO SCALE
CONSUMERS
DEREGULATION
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
DOMESTIC MARKET
DOWNWARD PRESSURE
ECONOMIC ANALYSIS
ECONOMIC INTEGRATION
ECONOMIC MODELS
ECONOMIC RESEARCH
ECONOMIC RESOURCES
ECONOMIC STRUCTURE
ECONOMICS
ELASTICITY
ELASTICITY OF SUBSTITUTION
EMPLOYEE
EMPLOYMENT TRENDS
EQUILIBRIUM
EXPORTS
EXTERNALITY
FACTOR MARKETS
FEMALE
FEMALE LABOR
FEMALES
GDP
GENDER
GENDER ASPECTS
GENDER DIFFERENCE
GENDER DIFFERENCES
GENDER EQUALITY
GENDER INEQUALITIES
GENDERS
GENERAL EQUILIBRIUM
GENERAL EQUILIBRIUM ANALYSIS
GENERAL EQUILIBRIUM MODELS
HOTELS
HOUSEHOLDS
HUMAN CAPITAL
HUMAN RESOURCES
IMPERFECT COMPETITION
IMPORT QUOTAS
INCREASING RETURNS
INCREASING RETURNS TO SCALE
INDUSTRY WAGE
INFORMAL ECONOMY
INFORMAL EMPLOYMENT
INFORMAL SECTOR
INSURANCE
JOB SEPARATION
JOB TURNOVER
JOBS
LABOR DEMAND
LABOR ECONOMICS
LABOR FORCE
LABOR INTENSITIES
LABOR INTENSITY
LABOR MARKET
LABOR MARKET DISCRIMINATION
LABOR MARKET OUTCOMES
LABOR MARKETS
LABOR MOBILITY
LABOR RELATIONS
LABOR SUBSTITUTION EFFECT
LABOR SUPPLY
LABOR UNIONS
LABOR-INTENSIVE TECHNOLOGIES
LABORERS
LABOUR
LABOUR FORCE
LABOUR MARKET
LABOUR OFFICE
LABOUR SHARE
MALE WORKERS
MARGINAL COSTS
MARGINAL PRODUCT
MARGINAL PRODUCTIVITY
MARGINAL PRODUCTS
MARGINAL REVENUE
MARKET CLEARING WAGES
MARRIED WOMEN
MONOPOLISTIC COMPETITION
MOTHERHOOD
MOTIVATION
NATIONAL INCOME
OCCUPATION
OCCUPATIONAL CLASSIFICATION
OCCUPATIONS
OPEN ECONOMY
POLITICAL ECONOMY
PREVIOUS PARAGRAPH
PRODUCT DIFFERENTIATION
PRODUCT PRICES
PRODUCTIVE FIRMS
PRODUCTIVITY
PRODUCTIVITY EFFECTS
PRODUCTIVITY GAINS
REAL WAGES
RETAIL TRADE
RURAL AREAS
SERVICE PROVIDERS
SERVICE SECTOR
SEX
SEXES
SHELTER
SUBSTITUTION EFFECT
TOTAL COSTS
TRADE LIBERALIZATION
TRADE POLICY
UNEMPLOYED
UNEMPLOYMENT
UNSKILLED WORKERS
URBAN AREAS
VALUE ADDED
WAGE DATA
WAGE DIFFERENTIAL
WAGE DIFFERENTIALS
WAGE DISCRIMINATION
WAGE GAP
WAGE INCREASES
WAGE INEQUALITY
WAGE POLICIES
WAGE RATE
WAGE RATES
WAGES
WOMAN
WORKER
WORLD TRADE ORGANIZATION
WTO
YOUNG WORKER
YOUNG WORKERS
Latorre, Maria C.
CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages
geographic_facet Africa
Tanzania
relation Policy Research Working Paper;No. 7073
description This study analyzes the impact on male and female wages of tariff reform and the reduction of regulatory barriers faced by domestic and foreign firms operating in business services. The study applies the model to Tanzania and develops a data set that distinguishes labor and wages by gender for 52 sectors and four skill categories. The model is the first to incorporate modern trade theory to assess the gender implications of trade reform. Given that the Dixit-Stiglitz framework results in productivity gains from additional varieties of services, the analysis finds that real wages increase across all worker categories. However, the increase in wages is higher for males than for females, because business services use males more intensively than females. The most skilled (female and male) workers, who are also the most intensively used in the business services sectors, benefit more from the real increases in wages. The model illustrates that as the development process continues and developing countries become more business service oriented, these sectors demand more educated workers and their wages will increase relative to those of unskilled workers. The policy conclusion from this model is that it is crucial to invest in the education of females so their human capital increases and their skills are more marketable in business services and other more technologically modern occupations. Otherwise, the wage gap between males and females would likely widen further.
format Publications & Research :: Policy Research Working Paper
author Latorre, Maria C.
author_facet Latorre, Maria C.
author_sort Latorre, Maria C.
title CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages
title_short CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages
title_full CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages
title_fullStr CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages
title_full_unstemmed CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages
title_sort cge analysis of the impact of foreign direct investment and tariff reform on female and male wages
publisher World Bank Group, Washington, DC
publishDate 2014
url http://documents.worldbank.org/curated/en/2014/10/20309724/cge-analysis-impact-foreign-direct-investment-tariff-reform-female-male-wages
http://hdl.handle.net/10986/20501
_version_ 1764445596521857024
spelling okr-10986-205012021-04-23T14:03:56Z CGE Analysis of the Impact of Foreign Direct Investment and Tariff Reform on Female and Male Wages Latorre, Maria C. ACCOUNTING ADULT MALE ADULT MALES ADULT WOMEN AGRICULTURE BENCHMARK BENCHMARK DATA CAPACITY BUILDING CHILD LABOR CLERKS COMPETITIVE MODELS CONSTANT RETURNS TO SCALE CONSUMERS DEREGULATION DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DOMESTIC MARKET DOWNWARD PRESSURE ECONOMIC ANALYSIS ECONOMIC INTEGRATION ECONOMIC MODELS ECONOMIC RESEARCH ECONOMIC RESOURCES ECONOMIC STRUCTURE ECONOMICS ELASTICITY ELASTICITY OF SUBSTITUTION EMPLOYEE EMPLOYMENT TRENDS EQUILIBRIUM EXPORTS EXTERNALITY FACTOR MARKETS FEMALE FEMALE LABOR FEMALES GDP GENDER GENDER ASPECTS GENDER DIFFERENCE GENDER DIFFERENCES GENDER EQUALITY GENDER INEQUALITIES GENDERS GENERAL EQUILIBRIUM GENERAL EQUILIBRIUM ANALYSIS GENERAL EQUILIBRIUM MODELS HOTELS HOUSEHOLDS HUMAN CAPITAL HUMAN RESOURCES IMPERFECT COMPETITION IMPORT QUOTAS INCREASING RETURNS INCREASING RETURNS TO SCALE INDUSTRY WAGE INFORMAL ECONOMY INFORMAL EMPLOYMENT INFORMAL SECTOR INSURANCE JOB SEPARATION JOB TURNOVER JOBS LABOR DEMAND LABOR ECONOMICS LABOR FORCE LABOR INTENSITIES LABOR INTENSITY LABOR MARKET LABOR MARKET DISCRIMINATION LABOR MARKET OUTCOMES LABOR MARKETS LABOR MOBILITY LABOR RELATIONS LABOR SUBSTITUTION EFFECT LABOR SUPPLY LABOR UNIONS LABOR-INTENSIVE TECHNOLOGIES LABORERS LABOUR LABOUR FORCE LABOUR MARKET LABOUR OFFICE LABOUR SHARE MALE WORKERS MARGINAL COSTS MARGINAL PRODUCT MARGINAL PRODUCTIVITY MARGINAL PRODUCTS MARGINAL REVENUE MARKET CLEARING WAGES MARRIED WOMEN MONOPOLISTIC COMPETITION MOTHERHOOD MOTIVATION NATIONAL INCOME OCCUPATION OCCUPATIONAL CLASSIFICATION OCCUPATIONS OPEN ECONOMY POLITICAL ECONOMY PREVIOUS PARAGRAPH PRODUCT DIFFERENTIATION PRODUCT PRICES PRODUCTIVE FIRMS PRODUCTIVITY PRODUCTIVITY EFFECTS PRODUCTIVITY GAINS REAL WAGES RETAIL TRADE RURAL AREAS SERVICE PROVIDERS SERVICE SECTOR SEX SEXES SHELTER SUBSTITUTION EFFECT TOTAL COSTS TRADE LIBERALIZATION TRADE POLICY UNEMPLOYED UNEMPLOYMENT UNSKILLED WORKERS URBAN AREAS VALUE ADDED WAGE DATA WAGE DIFFERENTIAL WAGE DIFFERENTIALS WAGE DISCRIMINATION WAGE GAP WAGE INCREASES WAGE INEQUALITY WAGE POLICIES WAGE RATE WAGE RATES WAGES WOMAN WORKER WORLD TRADE ORGANIZATION WTO YOUNG WORKER YOUNG WORKERS This study analyzes the impact on male and female wages of tariff reform and the reduction of regulatory barriers faced by domestic and foreign firms operating in business services. The study applies the model to Tanzania and develops a data set that distinguishes labor and wages by gender for 52 sectors and four skill categories. The model is the first to incorporate modern trade theory to assess the gender implications of trade reform. Given that the Dixit-Stiglitz framework results in productivity gains from additional varieties of services, the analysis finds that real wages increase across all worker categories. However, the increase in wages is higher for males than for females, because business services use males more intensively than females. The most skilled (female and male) workers, who are also the most intensively used in the business services sectors, benefit more from the real increases in wages. The model illustrates that as the development process continues and developing countries become more business service oriented, these sectors demand more educated workers and their wages will increase relative to those of unskilled workers. The policy conclusion from this model is that it is crucial to invest in the education of females so their human capital increases and their skills are more marketable in business services and other more technologically modern occupations. Otherwise, the wage gap between males and females would likely widen further. 2014-10-30T20:59:55Z 2014-10-30T20:59:55Z 2014-10 http://documents.worldbank.org/curated/en/2014/10/20309724/cge-analysis-impact-foreign-direct-investment-tariff-reform-female-male-wages http://hdl.handle.net/10986/20501 English en_US Policy Research Working Paper;No. 7073 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Group, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Africa Tanzania