Dokument
| Titel: | Unemployment Benefits as Redistribution Scheme of Trade Gains - a Positive Analysis |
| Autor: | de Pinto, Marco |
| Veröffentlicht: | 2012 |
| URI: | https://archiv.ub.uni-marburg.de/es/2024/0124 |
| DOI: | https://doi.org/10.17192/es2024.0124 |
| ISSN: | 1867-3678 |
| DDC: | 330 Wirtschaft |
| Publikationsdatum: | 2024-01-03 |
| Lizenz: | https://creativecommons.org/publicdomain/mark/1.0 |
| Schlagwörter: |
|---|
| tradeliberalization,heterogeneousfirms,tradeunions, skill-specificunemployment,unemploymentbenefits,taxes |
Summary:
Trade liberalization is no Pareto-improvement - there are winners
(high-skilled) and losers (low-skilled).To compensate the losers the government is assumed to introduce unemployment benefits (UB).These benefits are financed by either a wage tax, a payroll tax, or a profitax. Using
a Melitz -type model of international trade with unionized labor markets
and heterogeneous workers we show that: (i) there is a threshold level of
UB where all trade gains are destroyed, (ii) this threshold differs between
different kind of taxes, (iii) there is a clear cut ranking in terms of welfare
for the chosen funding of the UB: 1. wagetax, 2. profittax, 3. payroll
tax.
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