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Are the labor market conditions causing the terms of trade to deteriorate?: A statistical evaluation of the Prebisch- Singer hypothesis.
Stockholm University, Faculty of Social Sciences, Department of Political Science.
2012 (English)Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
Abstract [en]

The study examines to what extent weak labor unions and an abundance of labor have a negative effect on less developed countries terms of trade, as hypothesized by Hans Singer (1950) and Rául Prebisch (1950). Using a sample from panel data for 74 less developed countries during the period 1980 – 2010 in OLS-regressions with fixed effects, I find some evidence that weak labor unions and abundance of labor is negatively correlated with the terms of trade, which could be interpreted in favor of the Prebisch-Singer hypothesis. The marginal effect of an abundance of labor also appears to have less negative impact on the terms of trade as labor unions grow stronger.

Place, publisher, year, edition, pages
2012. , 30 p.
Keyword [en]
Terms of trade, Prebisch-Singer hypothesis, Marginal effect of unemployment
National Category
Political Science
Identifiers
URN: urn:nbn:se:su:diva-88437OAI: oai:DiVA.org:su-88437DiVA: diva2:611209
Uppsok
Social and Behavioural Science, Law
Supervisors
Examiners
Available from: 2013-03-21 Created: 2013-03-14 Last updated: 2013-03-21Bibliographically approved

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Cederlöf, Jonas
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ReferencesLink to record
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