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Full-Text Articles in Social and Behavioral Sciences
Long-Run Wage And Earnings Losses Of Displaced Workers, Roger White
Long-Run Wage And Earnings Losses Of Displaced Workers, Roger White
Economics
Displacement-related losses are estimated using National Longitudinal Survey of Youth data that span the years 1979–2000. The typical displaced worker faces losses of $34,065 during the period 4 years prior through 5 years following displacement. Proportionally, this represents a 10.8% loss compared to earnings of similar nondisplaced workers over the period. Considerable variation in losses is reported across worker types. Union, male and more mature workers suffer greater losses, respectively, than do their nonunion, female and younger counterparts. College graduates and high school dropouts are found to suffer lower losses compared to high school diploma holders and those who completed …
Displacement-Related Earnings Losses: Evaluating Trade Adjustment Assistance And Wage Insurance, Roger White
Displacement-Related Earnings Losses: Evaluating Trade Adjustment Assistance And Wage Insurance, Roger White
Economics
The author examines the effectiveness of stylized versions of the Trade Adjustment Assistance (TAA) and Alternative TAA (or wage insurance) programs in reducing displacement-related earnings losses. Wage insurance subsidies and returns to TAAfunded training are applied to estimates of proportional earnings losses, reported by White, that were generated using National Longitudinal Survey of Youth 1979 data spanning the period from 1979 to 2000. Wage insurance reduces the typical worker’s losses by 14.4 percent, while TAA-funded training is estimated to reduce losses by 23.7 percent. However, variation in the time paths and magnitudes of losses produces considerable variation in the effects …