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Trade Liberalization and Labor-Demand Elasticities : Empirical Evidence from Tunisia

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dc.creator Haouas, Ilham
dc.creator Yagoubi, Mahmoud
dc.date 2004
dc.date.accessioned 2013-10-16T07:09:59Z
dc.date.available 2013-10-16T07:09:59Z
dc.date.issued 2013-10-16
dc.identifier http://hdl.handle.net/10419/20319
dc.identifier ppn:38401447X
dc.identifier.uri http://koha.mediu.edu.my:8181/xmlui/handle/10419/20319
dc.description This paper investigates the effects of trade liberalization on labor demand elasticities. Employment demand equation is estimated by using data (1971-1996) for manufacturing industries in Tunisia. Results from empirical testing using the model find a weak support for the idea assuming that trade liberalization will lead to an increase in labor demand elasticities: in the vast majority of the industries we consider, we cannot reject the hypothesis of no relationship between trade openness and labor-demand elasticities. This weakness of labor demand elasticity in practice is perhaps explained by the tight labor market regulations in place during the years 1987-96. However, our results are robust to the type of labor considered (contract labor and permanent labor). This supports the conclusion that in liberalization periods labor markets have become more flexible, and that employers prefer recruiting contract workers.
dc.language eng
dc.publisher
dc.relation IZA Discussion paper series 1084
dc.rights http://www.econstor.eu/dspace/Nutzungsbedingungen
dc.subject F12
dc.subject F10
dc.subject L60
dc.subject J23
dc.subject ddc:330
dc.subject trade reforms
dc.subject imperfect competition
dc.subject factor demand elasticities
dc.subject Tunisian manufacturing industries
dc.subject Arbeitsnachfrage
dc.subject Elastizität
dc.subject Aussenhandelsliberalisierung
dc.subject Schätzung
dc.subject Tunesien
dc.title Trade Liberalization and Labor-Demand Elasticities : Empirical Evidence from Tunisia
dc.type doc-type:workingPaper
dc.coverage 1971-1996


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