722
Views
5
CrossRef citations to date
0
Altmetric
Original Articles

Trade liberalization and informality nexus: Evidence from Pakistan

, ORCID Icon, , ORCID Icon &
Pages 732-754 | Received 13 Jan 2018, Accepted 06 Mar 2019, Published online: 25 Mar 2019

References

  • Acosta, Pablo, and Leonardo Gasparini. 2007. “Capital Accumulation, Trade Liberalization, and Rising Wage Inequality: The Case of Argentina.” Economic Development and Cultural Change 55 (4): 793–812. doi:10.1086/516764.
  • Acosta, Pablo, and Gabriel Montes-Rojas. 2014. “Informal Jobs and Trade Liberalisation in Argentina.” The Journal of Development Studies 50 (8): 1104–1118. doi:10.1080/00220388.2014.919381.
  • Aghion, Philippe, Robin Burgess, Stephen J. Redding, and Fabrizio Zilibotti. 2008. “The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India.” American Economic Review 98 (4): 1397–1412. doi:10.1257/aer.98.4.1397.
  • Ahsan, Ahmad, and Carmen Pagés. 2009. “Are all Labor Regulations Equal? Evidence from Indian Manufacturing.” Journal of Comparative Economics 37 (1): 62–75. doi:10.1016/j.jce.2008.09.001.
  • Ajefu, Joseph Boniface. 2015. Essays on Household Employment, Trade Liberalization, and Income in Developing Countries. Leicester: Department of Economics, University of Leicester.
  • Aleman-Castilla, Benjamin. 2006. “The Effect of Trade Liberalization on Informality and Wages: Evidence from Mexico.” CEP Discussion Paper No 763. Edited by London School of Economics and Political Science Centre for Economic Performance. London: Centre for Economic Performance, London School of Economics and Political Science.
  • Almeida, Rita K., and Z. Bilgen Susanlı. 2012. “Firing Regulations and Firm Size in the Developing World: Evidence from Differential Enforcement.” Review of Development Economics 16 (4): 540–558. doi:10.1111/rode.12003.
  • Almeida, Rita, and Pedro Carneiro. 2009. “Enforcement of Labor Regulation and Firm Size.” Journal of Comparative Economics 37 (1): 28–46. doi:10.1016/j.jce.2008.09.004.
  • Almeida, Rita K., and Jennifer P. Poole. 2017. “Trade and Labor Reallocation with Heterogeneous Enforcement of Labor Regulations.” Journal of Development Economics 126: 154–166. doi:10.1016/j.jdeveco.2017.01.004.
  • Artuç, Erhan, Shubham Chaudhuri, and John McLaren. 2010. “Trade Shocks and Labor Adjustment: A Structural Empirical Approach.” American Economic Review 100 (3): 1008–1045. doi:10.1257/aer.100.3.1008.
  • Atolia, Manoj. 2007. “Trade Liberalization and Rising Wage Inequality in Latin America: Reconciliation with HOS Theory.” Journal of International Economics 71 (2): 467–494. doi:10.1016/j.jinteco.2006.06.005.
  • Attanasio, Orazio, Pinelopi K Goldberg, and Nina Pavcnik. 2004. “Trade Reforms and Wage Inequality in Colombia.” Journal of Development Economics 74 (2): 331–366.
  • Behar, Alberto. 2016. “The Endogenous Skill Bias of Technical Change and Wage Inequality in Developing Countries.” The Journal of International Trade & Economic Development 25 (8): 1101–1121. doi:10.1080/09638199.2016.1193887.
  • Besley, Timothy, and Robin Burgess. 2004. “Can Labor Regulation Hinder Economic Performance? Evidence from India.” The Quarterly Journal of Economics 119 (1): 91–134. doi:10.1162/003355304772839533.
  • Bulow, Jeremy I., and Lawrence H. Summers. 1986. “A Theory of Dual Labor Markets with Application to Industrial Policy, Discrimination, and Keynesian Unemployment.” Journal of Labor Economics 4 (3, Part 1): 376–414.
  • Casabianca, Elizabeth Jane. 2016. “Distributional Effects of Multilateral and Preferential Trade Liberalisation: The Case of Paraguay.” The Journal of International Trade & Economic Development 25 (1): 80–102. doi:10.1080/09638199.2015.1041418.
  • Cigno, Alessandro, Giorgia Giovannetti, and Laura Sabani. 2018. “The Role of Trade and Offshoring in the Determination of Relative Wages and Child Labour.” The Journal of International Trade & Economic Development 27 (3): 267–292. doi:10.1080/09638199.2017.1378254.
  • Correa, Nelson, and Michele Di Maio. 2013. “Informality, Tariffs and Wealth.” The Journal of International Trade & Economic Development 22 (4): 477–508. doi:10.1080/09638199.2011.590598.
  • Currie, Janet, and Ann Harrison. 1997. “Trade Reform and Labor Market Adjustment in Morocco.” Journal of Labor Economics 15 (3): S44–S71.
  • Dix-Carneiro, Rafael. 2014. “Trade Liberalization and Labor Market Dynamics.” Econometrica 82 (3): 825–885. doi:10.3982/ECTA10457.
  • Djankov, Simeon, and Rita Ramalho. 2009. “Employment Laws in Developing Countries.” Journal of Comparative Economics 37 (1): 3–13. doi:10.1016/j.jce.2008.10.003.
  • Dougherty, Sean M. 2009. “Labour Regulation and Employment Dynamics at the State Level in India.” Review of Market Integration 1 (3): 295–337. doi:10.1177/097492921000100303.
  • Fallon, Peter R., and Robert E. B. Lucas. 1991. “The Impact of Changes in Job Security Regulations in India and Zimbabwe.” The World Bank Economic Review 5 (3): 395–413. doi:10.1093/wber/5.3.395.
  • Goldberg, Pinelopi Koujianou, and Nina Pavcnik. 2003. “The Response of the Informal Sector to Trade Liberalization.” Journal of Development Economics 72 (2): 463–496. doi:10.1016/S0304-3878(03)00116-0.
  • Goldberg, Pinelopi Koujianou, and Nina Pavcnik. 2005. “Trade, Wages, and the Political Economy of Trade Protection: Evidence from the Colombian Trade Reforms.” Journal of International Economics 66 (1): 75–105. doi:10.1016/j.jinteco.2004.04.005.
  • Gourdon, Julien, Nicolas Maystre, and Jaime de Melo. 2008. “Openness, Inequality and Poverty: Endowments Matter.” The Journal of International Trade & Economic Development 17 (3): 343–378. doi:10.1080/09638190802136978.
  • Haisken-DeNew, John P, and Christoph M Schmidt. 1997. “Interindustry and Interregion Differentials: Mechanics and Interpretation.” Review of Economics and Statistics 79 (3): 516–521. http://www.jstor.org/stable/2951400.
  • Harrison, Ann, and Gordon Hanson. 1999. “Who Gains from Trade Reform? Some Remaining Puzzles.” Journal of Development Economics 59 (1): 125–154. doi:10.1016/S0304-3878(99)00008-5.
  • Kahyalar, Neslihan, Sami Fethi, Salih Katircioglu, and Bazoumana Ouattara. 2018. “Formal and Informal Sectors: Is There Any Wage Differential?” The Service Industries Journal 38 (11–12): 789–823. doi:10.1080/02642069.2018.1482877.
  • Krueger, Alan B, and Lawrence H Summers. 1988. “Efficiency Wages and the Inter-industry Wage Structure.” Econometrica: Journal of the Econometric Society 56 (2): 259–293.
  • Kugler, Adriana D. 1999. “The Impact of Firing Costs on Turnover and Unemployment: Evidence from the Colombian Labour Market Reform.” International Tax and Public Finance 6 (3): 389–410.
  • Kugler, Adriana D. 2004. “The Effect of Job Security Regulations on Labor Market Flexibility. Evidence from the Colombian Labor Market Reform.” In Law and Employment: Lessons from Latin American and the Caribbean, edited by James J. Heckman and Carmen Pagés, 183–228. Chicago, IL: University of Chicago Press.
  • Kumar, Utsav, and Prachi Mishra. 2008. “Trade Liberalization and Wage Inequality: Evidence from India.” Review of Development Economics 12 (2): 291–311.
  • LFS. Pakistan Labor Force Survey (Various Issues). http://www.pbs.gov.pk/content/labour-force-statistics.
  • Maiti, Dibyendu, and Sugata Marjit. 2008. “Trade Liberalization, Production Organization and Informal Sector of the Developing Countries.” The Journal of International Trade & Economic Development 17 (3): 453–461. doi:10.1080/09638190802137125.
  • Mamoon, Dawood, and Syed Mansoob Murshed. 2013. “Education Bias of Trade Liberalization and Wage Inequality in Developing Countries.” The Journal of International Trade & Economic Development 22 (4): 572–604. doi:10.1080/09638199.2011.589532.
  • Menezes-Filho, Naércio Aquino, and Marc-Andreas Muendler. 2011. “Labor Reallocation in Response to Trade Reform.” National Bureau of Economic Research Working Paper Series No. 17372. doi: 10.3386/w17372.
  • Mitra, Devashish, and Beyza P. Ural. 2008. “Indian Manufacturing: A Slow Sector in a Rapidly Growing Economy.” The Journal of International Trade & Economic Development 17 (4): 525–559. doi:10.1080/09638190802250282.
  • PCT. (Various Issues). Pakistan Customs Tariff, Central Board of Revenue, Government of Pakistan.
  • Saha, Bibhas, Kunal Sen, and Dibyendu Maiti. 2013. “Trade Openness, Labour Institutions and Flexibilisation: Theory and Evidence from India.” Labour Economics 24: 180–195. doi:10.1016/j.labeco.2013.08.008.
  • Saint-Paul, Gilles. 1996. Dual Labor Markets: A Macroeconomic Perspective. Cambridge, MA: MIT press.
  • Shapiro, Carl, and Joseph E Stiglitz. 1984. “Equilibrium Unemployment as a Worker Discipline Device.” The American Economic Review 74 (3): 433–444.
  • Stallings, Barbara, and Wilson Peres. 2000. Growth, Employment, and Equity: The Impact of the Economic Reforms in Latin America and the Caribbean. Washington: Brookings Institution Press.
  • Tsao, Ku-Chu, Shih-Jye Wu, Jin-Li Hu, and Yan-Shu Lin. 2018. “Subcontracting Bargaining Power and the Trade Policy.” The Journal of International Trade & Economic Development, 1–19. doi:10.1080/09638199.2018.1501084.
  • Ul-Haq, Jabbar. 2016. Trade Liberalization, Wages and Work Environment Nexus: Evidences from Pakistan. Beijing: School of International Trade and Economics, University of International Business and Economics.
  • Ul-Haq, Jabbar, Hubert Visas, MengYun Wu, and Ahmad Raza. 2018. The Impact of Trade Liberalization on Formal-Informal Wage Differentials: Evidence from Pakistan (Mimeo). Zhenjiang: Jiangsu University School of Finance and Economics.
  • Wacziarg, Romain, and Jessica Seddon Wallack. 2004. “Trade Liberalization and Intersectoral Labor Movements.” Journal of International Economics 64 (2): 411–439. doi:10.1016/j.jinteco.2003.10.001.
  • Williams, Colin C. 2014. “Out of the Shadows: a Classification of Economies by the Size and Character of Their Informal Sector.” Work, Employment and Society 28 (5): 735–753. doi:10.1177/0950017013501951.
  • Williams, Colin C., Muhammad S. Shahid, and Alvaro Martínez. 2016. “Determinants of the Level of Informality of Informal Micro-enterprises: Some Evidence from the City of Lahore, Pakistan.” World Development 84: 312–325. doi:10.1016/j.worlddev.2015.09.003.
  • Worldbank. 2006. “Labor Market Study: Regulation, Job Creation, and Skills Formation in the Manufacturing Sector.” Report No. 38075-PK. Finance and Private Sector Development Unit South Asia Region, The World Bank.
  • Wu, Mengyun, Jabbar Ul-Haq, Naeem uz Zafar, Ghulam Abbas, and Adeel Salim. 2018. Trade Reforms and Wage Inequality in Pakistan, Mimeo. Zhenjiang: Jiangsu University School of Finance and Economics.
  • Zaidi, S. Akbar. 2015. Issues in Pakistan's Economy. 3rd ed. Karachi: Oxford University Press.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.