Using a three-sector general equilibrium model with non-traded goods, we investigate the impact of foreign direct investment on the real wages of skilled and unskilled workers. We show that foreign direct investment increases the real wages of skilled and unskilled workers, but widens the gap between the two under plausible conditions. JEL: F10, F11, F21

Restricted reproduction is traditionally posited as the defining feature of eusocial insect workers. The discovery of worker reproduction in foreign colonies challenges this view and suggests that workers' potential to pursue selfish interests may be higher than previously believed. However, whether such reproductive behaviour truly relies on a reproductive decision is still unknown. Workers' r...

The large influx of immigrants in recent decades has led to an equally long, still unresolved debate over its effect on the economic well-being of native-born workers. Specifically, does immigration impose costs on U.S. workers by diminishing their labor market prospects? Economic theory posits that an increase in the supply of labor, such as through immigration, will reduce the wages and emplo...

Context-dependent decision-making conditions individual plasticity and is an integrant part of alternative reproductive strategies. In eusocial Hymenoptera (ants, bees and wasps), the discovery of worker reproductive parasitism recently challenged the view of workers as a homogeneous collective entity and stressed the need to consider them as autonomous units capable of elaborate choices which ...

The large influx of immigrants in recent decades has led to an equally long debate over their effect on the labor market outcomes of native-born workers. Economic theory posits that an increase in the supply of labor, such as from immigration, will reduce the wage employers are willing to pay all workers (native-born and foreign-born) in a given labor market. As a result, some of the workers wh...

Recent influential empirical work has emphasized the negative impact immigrants have on the wages of U.S.-born workers, arguing that immigration harms less educated American workers in particular and all U.S.-born workers in general. Because U.S. and foreign born workers belong to different skill groups that are imperfectly substitutable, one needs to articulate a production function that aggre...

The 1980s and 1990s were characterized by an absorption of foreign labour into the Malaysian economy that was unprecedented in terms of numbers and rapidity. From approximately 500,000 foreign workers in 1984 (Ministry of Human Resources, 1991) their numbers shot up beyond 1.2 million in 1991 (Pillai, 1992) and 2.4 million in early 1998 (Utusan Malaysia, 1998). Labour voids manifested particula...

Paying More to Hire the Best? Foreign Firms, Wages and Worker Mobility In the context of the debate on the labour-market consequences of globalisation, we examine worker mobility in order to identify the wage differences between foreign and domestic firms. Using matched employer-employee panel data for Portugal, we consider virtually all spells of interfirm mobility over a period of ten years. ...

This paper seeks to identify the causal effect of foreign acquisitions on wages of skilled and unskilled workers, using difference-in-differences propensity score matching estimators. Our results suggest that there is substantial heterogeneity in the post-acquisition wage effect depending on the nationality of the foreign acquirer and the skill group of workers. We find sizable post acquisition...