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The Effects of Inward FDI on the Skill Premium in Korea
- Author HAN Minsoo
- Date2016-04-05
Based on the evidence from inward FDI and the labor market in Korea, I argue that the increase in FDI inflow affects the labor market only in the case of certain industries, and that one primary characteristic of those industries would be the large volume of initial FDI inflow. In particular, FDI inflow tends to be positively associated with the wage premium for high-skill workers in industries such as wholesale/retail, finance/insurance, electricity/electronics, food/accommodation, chemicals, transport machines, machine/equipment, food, and business services.
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