The China Syndrome: Local Labor Market Effects of Import Competition in the United States
@article{Autor2012TheCS, title={The China Syndrome: Local Labor Market Effects of Import Competition in the United States}, author={David H. Autor and D. Dorn and G. Hanson}, journal={NBER Working Paper Series}, year={2012} }
We analyze the effect of rising Chinese import competition between 1990 and 2007 on U.S. local labor markets, exploiting cross-market variation in import exposure stemming from initial differences in industry specialization and instrumenting for U.S. imports using changes in Chinese imports by other high-income countries. Rising imports cause higher unemployment, lower labor force participation, and reduced wages in local labor markets that house import-competing manufacturing industries. In… CONTINUE READING
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