Globalization, Jobs, and Welfare: The Roles of Social Protection and Redistribution

标题Globalization, Jobs, and Welfare: The Roles of Social Protection and Redistribution
出版物类型期刊文章
出版物年份2015
作者Ranjan, Priya
期刊CESifo Working Paper Series No. 5191
VolumeJanuary 2015
Date Published2015///
关键词endogenous job destruction, offshoring, severance payments, unemployment, unemployment benefits
Abstract

This paper studies the welfare and policy implications of globalization when risk averse workers face the risk of unemployment. If the jobs performed by domestic workers can be easily substituted by imports, then globalization reduces wages and increases unemployment. In this situation, in the absence of any government intervention globalization not only reduces the welfare of workers but could reduce social welfare as well. Both unemployment benefits and severance payments can protect workers against labor income risk, but the latter enhances welfare more if job destruction is the source of unemployment. When optimal redistribution and social protection policies are in place, globalization necessarily improves social welfare.

网址http://ssrn.com/abstract=2560751