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Trade, Foreign Direct Investment and International Flow of Labor : OECD countries

서울대학교 국제대학원
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  • 무역
  • Trade
  • 해외직접투자
  • Foreign Direct Investment
  • 국가간 노동 이동
  • International Flow Of Labor
  • 이민
  • International Migration
  • Oecd


The relation between trade and international flow of labor has been an interest for economist for a long period. According to Hecksher-Ohlin model, the increased trade between two countries would lower the movement of production factors. Mundell also explains that trade and the movement of labor are substitution. On the other hand, Markusen suggests that trade can raise the flow of migration when basic assumptions of H-O model are modified. There are contrary arguments about how trade would affect the movement of labor. The empirical tests are very limited, however. This paper examines the effect of trade on the international movement of labor using migration data into 28 OECD countries. Also the effect of foreign direct investment on the flow of labor is considered. The results reveal that the increased exports to the world in migrant-sending country lower the emigration flow. However increase of imports from the world boosts the outflow of people. Also the rise of bilateral trade between migrant-sending origin and its destination country raises migration flow into the destination country. Total foreign direct investment which flows from the world into an origin country of migration does not affect the outflow of labor. However the increased bilateral investment between origin and destination countries raises the movement of people into the destination country. * Note: The text above is the abstract of the thesis. You can use the full-text by clicking the "Link" (URL) of item record and the viewer program will be installed automatically. In case of having problem with the viewer program installation, please download it manually using this url

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