Labour market effects of globalization in the presence of vertical and regional differentiation

In recent years globalization has contributed to the increase of insecurity among workers of advanced economies both in terms of fear of losing jobs and also in terms of expected decline in remunerations. It is surprising that still until the beginning of the new century the majority of academic opinion did not believe that the growing integration between advanced countries and emerging economies was producing an adverse impact on labour markets of developed countries. Only in recent times academic economists are carrying out analyses which are more in line with popular perceptions about the adverse effects of globalization in developed countries. This book goes through the debate on labour market effects of international trade in advanced countries and offers an interpretative framework in which due attention is given to the role that quality differentiation, vertical disintegration and regional divides play in the trade and jobs nexus. This approach is another way to take account of the relevance of labour markets effects of international trade in advanced economies.