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- 저자 : Nomintsetseg, Ulzii-Ochir (검색결과 1 건)
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The Effect FTAs on Income Inequality
Nomintsetseg, Ulzii-Ochir Kangwon National Univ 2013 국내박사
Part A In the mid of 1990’s, the number of free-trade agreements has increased rapidly. In the same period of time it has been said that income inequality increased in many nations of the world. However, it is still matter of huge debate among scholars whether FTAs increases or decreases income inequality. Using the unbalanced panel dataset of 124 countries over the period 1988-2008, the part A of this thesis assesses the impact of FTA on income inequalities within-countries. Differing from the existing empirical literature, this thesis aims to examine the effect of market integration on within-country income inequalities by utilizing brand new explanatory variable FTA (Free Trade Agreement). In the framework of neoclassical trade theory, it has been found that increases in FTAs lead to greater income inequalities within-countries. However, the interaction between FTAs and factor endowments, it has been found a negative and significant association with inequality. Part B The existing empirical studies suggest mixed predictions whether Free Trade Agreements (FTAs) converges or diverges income difference across-countries. Therefore, this study aims to clarify the impact of FTA on income difference between-countries. In order to examine this effect, I utilized country-pair panel data of 124 countries during the year of 1998-2008 and constructed FTA index, respectively. On the basis of augmented Knowledge-Capital Model, it has been found strong convergence of income levels between-countries when they engaging in FTA. Differences in capital and labor ratio, human capital and technology level found positively associated with income difference as expected.
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