Growing Apart: The Causes and Consequence of Global Wage Inequality

Overview

The principle of free trade is under attack in the United States. Yet, there is no consensus on the precise role of trade in affecting American incomes. Important questions remain: To what extent is trade responsible for growing income inequality in the United States (and elsewhere), and can policymakers alleviate the ill effects of free trade while still reaping the benefits of open markets?

This important book joins the debate with a robust defense of the principle and ...

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Overview

The principle of free trade is under attack in the United States. Yet, there is no consensus on the precise role of trade in affecting American incomes. Important questions remain: To what extent is trade responsible for growing income inequality in the United States (and elsewhere), and can policymakers alleviate the ill effects of free trade while still reaping the benefits of open markets?

This important book joins the debate with a robust defense of the principle and practice of free trade in the United States. Editors Albert Fishlow and Karen Parker have collected essays from a number of leading economists and trade specialists that challenge the view that trade is solely responsible for growing inequality in the United States. The authors debunk the generalized notion that protectionism will reverse inequality, elucidating the complexity of a problem of income distribution that includes other key factors such as technological progress, foreign direct investment, immigration, and expanded higher education. The book avoids quickfix solutions, instead offering commonsense policy ideas that seek to sustain the efficiency-enhancing benefits for the United States of free trade while recognizing and redressing the plight of the "losers" in the global market economy.

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Editorial Reviews

Booknews
This book enters the debate surrounding free trade, offering a defense of the principles and practice of free trade in the U.S. Editors Fishlow (Yale School of Management) and Karen Parker (Chase Securities, Inc.) have collected essays from a number of economists and trade specialists challenging the view that trade has increased inequality in the United States. The volume draws attention to other factors such as technological progress, foreign direct investment, immigration, and expanded higher education. No index. Annotation c. Book News, Inc., Portland, OR (booknews.com)
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Product Details

  • ISBN-13: 9780876092552
  • Publisher: Council on Foreign Relations
  • Publication date: 12/28/1999
  • Pages: 250
  • Product dimensions: 5.97 (w) x 8.92 (h) x 0.70 (d)

Table of Contents

Foreword vii
1. Introduction 1
2. The New Inequality in the United States 21
3. The Causes and Consequences of Changing Income Inequality 67
4. Foreign Direct Investment and Good Jobs/Bad Jobs: The Impact of Outward Investment and Inward Investment on Jobs and Wages 95
5. Increasing Wage Dispersion in U.S. Manufacturing: Plant-Level Evidence on the Role of Trade and Technology 118
6. The Impact of Immigration on the U.S. Labor Market 149
7. What Can We Do? Remedies for Reducing Inequality 192
Index 216
About the Authors 225
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