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Trade and Jobs in EuropeMuch Ado About Nothing?$
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Mathias Dewatripont, André Sapir, and Khalid Sekkat

Print publication date: 1999

Print ISBN-13: 9780198293606

Published to Oxford Scholarship Online: August 2004

DOI: 10.1093/0198293607.001.0001

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Relative Prices, Trade and Restructuring in European Industry

Relative Prices, Trade and Restructuring in European Industry

(p.33) 2. Relative Prices, Trade and Restructuring in European Industry
Trade and Jobs in Europe

Damien Neven

Charles Wyplosz (Contributor Webpage)

Oxford University Press

This chapter examines the impact of trade on European labour markets using data on relative commodity prices and intra-sectoral skill levels. Drastic restructuring in unskilled labour-intensive industries is observed in terms of downsizing and upgrading of skills. Competition from developing countries affects a significant number of industries, but the adjustments taking place at the industry level are not as simple as those predicted by Heckscher-Ohlin.

Keywords:   international trade, European labour market, unskilled workers, skilled workers, competition, commodity prices, wages, industry

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