Trade Openness and Inequality

February 13, 2014 Editor 0

This paper is intended to test the effect of trade openness on inequality of wage distribution in Tunisia. The study through econometric estimates showed that the impact of openness on inequality is remarkable in the period marked by an intensive integration into the global economy. However, investment in human capital can have a positive effect and leas to reduce wage disparities.

Opening to the world economy is able to achieve positive economic performance, except that one of the challenges for Tunisia is to find the best equilibrium between the benefits and costs of this policy. Globalization can be beneficial for the economy, but the debate is open about its impact on the social level, many are those who accuse it of increasing disparities and inequalities between workers.

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Categories: Innovation

Tags: Economic inequality, globalization, Income distribution, Postmodernism, Sociocultural evolution