Trade-Related Job Loss and Wage Insurance: A Synthetic Review

UC Santa Cruz SCCIE Working Paper No. 02-28

39 Pages Posted: 29 Mar 2004

See all articles by Lori G. Kletzer

Lori G. Kletzer

University of California at Santa Cruz

Date Written: June 2003

Abstract

This paper seeks to promote further integration of empirical and theoretical discussions of trade and worker adjustment. From my recent studies of the costs of job loss, I develop a set of stylized facts of trade-related job loss, with a focus on worker characteristics and labor market consequences. These stylized facts are relevant to any (credible) model of trade liberalization and adjustment costs. I then discuss the basic ideas of wage insurance and summarize the little that is known about how a program might work if implemented in the U.S. A final section provides a list of issues for a model of trade that will be consistent with the empirical stylized facts, sets out questions for future research and concludes.

Suggested Citation

Kletzer, Lori G., Trade-Related Job Loss and Wage Insurance: A Synthetic Review (June 2003). UC Santa Cruz SCCIE Working Paper No. 02-28, Available at SSRN: https://ssrn.com/abstract=521503 or http://dx.doi.org/10.2139/ssrn.521503

Lori G. Kletzer (Contact Author)

University of California at Santa Cruz ( email )

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