Globalization of production, manufacturing employment, and income inequality in developing nations

Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment...
Ausführliche Beschreibung

Gespeichert in:

Autor*in:	Pandian, Roshan K. [verfasserIn]

Format:	E-Artikel
Sprache:	Englisch

Erschienen:	2023

Schlagwörter:	Income inequality Economic globalization Development Industrialization

Übergeordnetes Werk:	Enthalten in: Social science research - Orlando, Fla. : Academic Press, 1972, 118
Übergeordnetes Werk:	volume:118

DOI / URN:	10.1016/j.ssresearch.2023.102975

Katalog-ID:	ELV066948967

Internformat


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520			\|a Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings.
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allfields	10.1016/j.ssresearch.2023.102975 doi (DE-627)ELV066948967 (ELSEVIER)S0049-089X(23)00130-8 DE-627 ger DE-627 rda eng 300 VZ 70.00 bkl 71.00 bkl Pandian, Roshan K. verfasserin (orcid)0000-0002-6080-1817 aut Globalization of production, manufacturing employment, and income inequality in developing nations 2023 nicht spezifiziert zzz rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings. Income inequality Economic globalization Development Industrialization Enthalten in Social science research Orlando, Fla. : Academic Press, 1972 118 Online-Ressource (DE-627)26812888X (DE-600)1471780-3 (DE-576)104194065 1096-0317 nnns volume:118 GBV_USEFLAG_U GBV_ELV SYSFLAG_U GBV_ILN_20 GBV_ILN_22 GBV_ILN_23 GBV_ILN_24 GBV_ILN_31 GBV_ILN_32 GBV_ILN_40 GBV_ILN_60 GBV_ILN_62 GBV_ILN_65 GBV_ILN_69 GBV_ILN_70 GBV_ILN_73 GBV_ILN_74 GBV_ILN_90 GBV_ILN_95 GBV_ILN_100 GBV_ILN_101 GBV_ILN_105 GBV_ILN_110 GBV_ILN_151 GBV_ILN_187 GBV_ILN_213 GBV_ILN_224 GBV_ILN_230 GBV_ILN_370 GBV_ILN_602 GBV_ILN_702 GBV_ILN_2001 GBV_ILN_2003 GBV_ILN_2004 GBV_ILN_2005 GBV_ILN_2007 GBV_ILN_2008 GBV_ILN_2009 GBV_ILN_2010 GBV_ILN_2011 GBV_ILN_2014 GBV_ILN_2015 GBV_ILN_2020 GBV_ILN_2021 GBV_ILN_2025 GBV_ILN_2026 GBV_ILN_2027 GBV_ILN_2034 GBV_ILN_2044 GBV_ILN_2048 GBV_ILN_2049 GBV_ILN_2050 GBV_ILN_2055 GBV_ILN_2056 GBV_ILN_2059 GBV_ILN_2061 GBV_ILN_2064 GBV_ILN_2088 GBV_ILN_2106 GBV_ILN_2110 GBV_ILN_2111 GBV_ILN_2112 GBV_ILN_2122 GBV_ILN_2129 GBV_ILN_2143 GBV_ILN_2152 GBV_ILN_2153 GBV_ILN_2190 GBV_ILN_2232 GBV_ILN_2336 GBV_ILN_2470 GBV_ILN_2507 GBV_ILN_4035 GBV_ILN_4037 GBV_ILN_4112 GBV_ILN_4125 GBV_ILN_4242 GBV_ILN_4249 GBV_ILN_4251 GBV_ILN_4305 GBV_ILN_4306 GBV_ILN_4307 GBV_ILN_4313 GBV_ILN_4322 GBV_ILN_4323 GBV_ILN_4324 GBV_ILN_4325 GBV_ILN_4326 GBV_ILN_4333 GBV_ILN_4334 GBV_ILN_4338 GBV_ILN_4393 GBV_ILN_4700 70.00 Sozialwissenschaften allgemein: Allgemeines VZ 71.00 Soziologie: Allgemeines VZ AR 118
spelling	10.1016/j.ssresearch.2023.102975 doi (DE-627)ELV066948967 (ELSEVIER)S0049-089X(23)00130-8 DE-627 ger DE-627 rda eng 300 VZ 70.00 bkl 71.00 bkl Pandian, Roshan K. verfasserin (orcid)0000-0002-6080-1817 aut Globalization of production, manufacturing employment, and income inequality in developing nations 2023 nicht spezifiziert zzz rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings. Income inequality Economic globalization Development Industrialization Enthalten in Social science research Orlando, Fla. : Academic Press, 1972 118 Online-Ressource (DE-627)26812888X (DE-600)1471780-3 (DE-576)104194065 1096-0317 nnns volume:118 GBV_USEFLAG_U GBV_ELV SYSFLAG_U GBV_ILN_20 GBV_ILN_22 GBV_ILN_23 GBV_ILN_24 GBV_ILN_31 GBV_ILN_32 GBV_ILN_40 GBV_ILN_60 GBV_ILN_62 GBV_ILN_65 GBV_ILN_69 GBV_ILN_70 GBV_ILN_73 GBV_ILN_74 GBV_ILN_90 GBV_ILN_95 GBV_ILN_100 GBV_ILN_101 GBV_ILN_105 GBV_ILN_110 GBV_ILN_151 GBV_ILN_187 GBV_ILN_213 GBV_ILN_224 GBV_ILN_230 GBV_ILN_370 GBV_ILN_602 GBV_ILN_702 GBV_ILN_2001 GBV_ILN_2003 GBV_ILN_2004 GBV_ILN_2005 GBV_ILN_2007 GBV_ILN_2008 GBV_ILN_2009 GBV_ILN_2010 GBV_ILN_2011 GBV_ILN_2014 GBV_ILN_2015 GBV_ILN_2020 GBV_ILN_2021 GBV_ILN_2025 GBV_ILN_2026 GBV_ILN_2027 GBV_ILN_2034 GBV_ILN_2044 GBV_ILN_2048 GBV_ILN_2049 GBV_ILN_2050 GBV_ILN_2055 GBV_ILN_2056 GBV_ILN_2059 GBV_ILN_2061 GBV_ILN_2064 GBV_ILN_2088 GBV_ILN_2106 GBV_ILN_2110 GBV_ILN_2111 GBV_ILN_2112 GBV_ILN_2122 GBV_ILN_2129 GBV_ILN_2143 GBV_ILN_2152 GBV_ILN_2153 GBV_ILN_2190 GBV_ILN_2232 GBV_ILN_2336 GBV_ILN_2470 GBV_ILN_2507 GBV_ILN_4035 GBV_ILN_4037 GBV_ILN_4112 GBV_ILN_4125 GBV_ILN_4242 GBV_ILN_4249 GBV_ILN_4251 GBV_ILN_4305 GBV_ILN_4306 GBV_ILN_4307 GBV_ILN_4313 GBV_ILN_4322 GBV_ILN_4323 GBV_ILN_4324 GBV_ILN_4325 GBV_ILN_4326 GBV_ILN_4333 GBV_ILN_4334 GBV_ILN_4338 GBV_ILN_4393 GBV_ILN_4700 70.00 Sozialwissenschaften allgemein: Allgemeines VZ 71.00 Soziologie: Allgemeines VZ AR 118
allfields_unstemmed	10.1016/j.ssresearch.2023.102975 doi (DE-627)ELV066948967 (ELSEVIER)S0049-089X(23)00130-8 DE-627 ger DE-627 rda eng 300 VZ 70.00 bkl 71.00 bkl Pandian, Roshan K. verfasserin (orcid)0000-0002-6080-1817 aut Globalization of production, manufacturing employment, and income inequality in developing nations 2023 nicht spezifiziert zzz rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings. Income inequality Economic globalization Development Industrialization Enthalten in Social science research Orlando, Fla. : Academic Press, 1972 118 Online-Ressource (DE-627)26812888X (DE-600)1471780-3 (DE-576)104194065 1096-0317 nnns volume:118 GBV_USEFLAG_U GBV_ELV SYSFLAG_U GBV_ILN_20 GBV_ILN_22 GBV_ILN_23 GBV_ILN_24 GBV_ILN_31 GBV_ILN_32 GBV_ILN_40 GBV_ILN_60 GBV_ILN_62 GBV_ILN_65 GBV_ILN_69 GBV_ILN_70 GBV_ILN_73 GBV_ILN_74 GBV_ILN_90 GBV_ILN_95 GBV_ILN_100 GBV_ILN_101 GBV_ILN_105 GBV_ILN_110 GBV_ILN_151 GBV_ILN_187 GBV_ILN_213 GBV_ILN_224 GBV_ILN_230 GBV_ILN_370 GBV_ILN_602 GBV_ILN_702 GBV_ILN_2001 GBV_ILN_2003 GBV_ILN_2004 GBV_ILN_2005 GBV_ILN_2007 GBV_ILN_2008 GBV_ILN_2009 GBV_ILN_2010 GBV_ILN_2011 GBV_ILN_2014 GBV_ILN_2015 GBV_ILN_2020 GBV_ILN_2021 GBV_ILN_2025 GBV_ILN_2026 GBV_ILN_2027 GBV_ILN_2034 GBV_ILN_2044 GBV_ILN_2048 GBV_ILN_2049 GBV_ILN_2050 GBV_ILN_2055 GBV_ILN_2056 GBV_ILN_2059 GBV_ILN_2061 GBV_ILN_2064 GBV_ILN_2088 GBV_ILN_2106 GBV_ILN_2110 GBV_ILN_2111 GBV_ILN_2112 GBV_ILN_2122 GBV_ILN_2129 GBV_ILN_2143 GBV_ILN_2152 GBV_ILN_2153 GBV_ILN_2190 GBV_ILN_2232 GBV_ILN_2336 GBV_ILN_2470 GBV_ILN_2507 GBV_ILN_4035 GBV_ILN_4037 GBV_ILN_4112 GBV_ILN_4125 GBV_ILN_4242 GBV_ILN_4249 GBV_ILN_4251 GBV_ILN_4305 GBV_ILN_4306 GBV_ILN_4307 GBV_ILN_4313 GBV_ILN_4322 GBV_ILN_4323 GBV_ILN_4324 GBV_ILN_4325 GBV_ILN_4326 GBV_ILN_4333 GBV_ILN_4334 GBV_ILN_4338 GBV_ILN_4393 GBV_ILN_4700 70.00 Sozialwissenschaften allgemein: Allgemeines VZ 71.00 Soziologie: Allgemeines VZ AR 118
allfieldsGer	10.1016/j.ssresearch.2023.102975 doi (DE-627)ELV066948967 (ELSEVIER)S0049-089X(23)00130-8 DE-627 ger DE-627 rda eng 300 VZ 70.00 bkl 71.00 bkl Pandian, Roshan K. verfasserin (orcid)0000-0002-6080-1817 aut Globalization of production, manufacturing employment, and income inequality in developing nations 2023 nicht spezifiziert zzz rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings. Income inequality Economic globalization Development Industrialization Enthalten in Social science research Orlando, Fla. : Academic Press, 1972 118 Online-Ressource (DE-627)26812888X (DE-600)1471780-3 (DE-576)104194065 1096-0317 nnns volume:118 GBV_USEFLAG_U GBV_ELV SYSFLAG_U GBV_ILN_20 GBV_ILN_22 GBV_ILN_23 GBV_ILN_24 GBV_ILN_31 GBV_ILN_32 GBV_ILN_40 GBV_ILN_60 GBV_ILN_62 GBV_ILN_65 GBV_ILN_69 GBV_ILN_70 GBV_ILN_73 GBV_ILN_74 GBV_ILN_90 GBV_ILN_95 GBV_ILN_100 GBV_ILN_101 GBV_ILN_105 GBV_ILN_110 GBV_ILN_151 GBV_ILN_187 GBV_ILN_213 GBV_ILN_224 GBV_ILN_230 GBV_ILN_370 GBV_ILN_602 GBV_ILN_702 GBV_ILN_2001 GBV_ILN_2003 GBV_ILN_2004 GBV_ILN_2005 GBV_ILN_2007 GBV_ILN_2008 GBV_ILN_2009 GBV_ILN_2010 GBV_ILN_2011 GBV_ILN_2014 GBV_ILN_2015 GBV_ILN_2020 GBV_ILN_2021 GBV_ILN_2025 GBV_ILN_2026 GBV_ILN_2027 GBV_ILN_2034 GBV_ILN_2044 GBV_ILN_2048 GBV_ILN_2049 GBV_ILN_2050 GBV_ILN_2055 GBV_ILN_2056 GBV_ILN_2059 GBV_ILN_2061 GBV_ILN_2064 GBV_ILN_2088 GBV_ILN_2106 GBV_ILN_2110 GBV_ILN_2111 GBV_ILN_2112 GBV_ILN_2122 GBV_ILN_2129 GBV_ILN_2143 GBV_ILN_2152 GBV_ILN_2153 GBV_ILN_2190 GBV_ILN_2232 GBV_ILN_2336 GBV_ILN_2470 GBV_ILN_2507 GBV_ILN_4035 GBV_ILN_4037 GBV_ILN_4112 GBV_ILN_4125 GBV_ILN_4242 GBV_ILN_4249 GBV_ILN_4251 GBV_ILN_4305 GBV_ILN_4306 GBV_ILN_4307 GBV_ILN_4313 GBV_ILN_4322 GBV_ILN_4323 GBV_ILN_4324 GBV_ILN_4325 GBV_ILN_4326 GBV_ILN_4333 GBV_ILN_4334 GBV_ILN_4338 GBV_ILN_4393 GBV_ILN_4700 70.00 Sozialwissenschaften allgemein: Allgemeines VZ 71.00 Soziologie: Allgemeines VZ AR 118
allfieldsSound	10.1016/j.ssresearch.2023.102975 doi (DE-627)ELV066948967 (ELSEVIER)S0049-089X(23)00130-8 DE-627 ger DE-627 rda eng 300 VZ 70.00 bkl 71.00 bkl Pandian, Roshan K. verfasserin (orcid)0000-0002-6080-1817 aut Globalization of production, manufacturing employment, and income inequality in developing nations 2023 nicht spezifiziert zzz rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings. Income inequality Economic globalization Development Industrialization Enthalten in Social science research Orlando, Fla. : Academic Press, 1972 118 Online-Ressource (DE-627)26812888X (DE-600)1471780-3 (DE-576)104194065 1096-0317 nnns volume:118 GBV_USEFLAG_U GBV_ELV SYSFLAG_U GBV_ILN_20 GBV_ILN_22 GBV_ILN_23 GBV_ILN_24 GBV_ILN_31 GBV_ILN_32 GBV_ILN_40 GBV_ILN_60 GBV_ILN_62 GBV_ILN_65 GBV_ILN_69 GBV_ILN_70 GBV_ILN_73 GBV_ILN_74 GBV_ILN_90 GBV_ILN_95 GBV_ILN_100 GBV_ILN_101 GBV_ILN_105 GBV_ILN_110 GBV_ILN_151 GBV_ILN_187 GBV_ILN_213 GBV_ILN_224 GBV_ILN_230 GBV_ILN_370 GBV_ILN_602 GBV_ILN_702 GBV_ILN_2001 GBV_ILN_2003 GBV_ILN_2004 GBV_ILN_2005 GBV_ILN_2007 GBV_ILN_2008 GBV_ILN_2009 GBV_ILN_2010 GBV_ILN_2011 GBV_ILN_2014 GBV_ILN_2015 GBV_ILN_2020 GBV_ILN_2021 GBV_ILN_2025 GBV_ILN_2026 GBV_ILN_2027 GBV_ILN_2034 GBV_ILN_2044 GBV_ILN_2048 GBV_ILN_2049 GBV_ILN_2050 GBV_ILN_2055 GBV_ILN_2056 GBV_ILN_2059 GBV_ILN_2061 GBV_ILN_2064 GBV_ILN_2088 GBV_ILN_2106 GBV_ILN_2110 GBV_ILN_2111 GBV_ILN_2112 GBV_ILN_2122 GBV_ILN_2129 GBV_ILN_2143 GBV_ILN_2152 GBV_ILN_2153 GBV_ILN_2190 GBV_ILN_2232 GBV_ILN_2336 GBV_ILN_2470 GBV_ILN_2507 GBV_ILN_4035 GBV_ILN_4037 GBV_ILN_4112 GBV_ILN_4125 GBV_ILN_4242 GBV_ILN_4249 GBV_ILN_4251 GBV_ILN_4305 GBV_ILN_4306 GBV_ILN_4307 GBV_ILN_4313 GBV_ILN_4322 GBV_ILN_4323 GBV_ILN_4324 GBV_ILN_4325 GBV_ILN_4326 GBV_ILN_4333 GBV_ILN_4334 GBV_ILN_4338 GBV_ILN_4393 GBV_ILN_4700 70.00 Sozialwissenschaften allgemein: Allgemeines VZ 71.00 Soziologie: Allgemeines VZ AR 118
language	English
source	Enthalten in Social science research 118 volume:118
sourceStr	Enthalten in Social science research 118 volume:118
format_phy_str_mv	Article
bklname	Sozialwissenschaften allgemein: Allgemeines Soziologie: Allgemeines
institution	findex.gbv.de
topic_facet	Income inequality Economic globalization Development Industrialization
dewey-raw	300
isfreeaccess_bool	false
container_title	Social science research
authorswithroles_txt_mv	Pandian, Roshan K. @@aut@@
publishDateDaySort_date	2023-01-01T00:00:00Z
hierarchy_top_id	26812888X
dewey-sort	3300
id	ELV066948967
language_de	englisch
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author	Pandian, Roshan K.
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title	Globalization of production, manufacturing employment, and income inequality in developing nations
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title_full	Globalization of production, manufacturing employment, and income inequality in developing nations
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title_sort	globalization of production, manufacturing employment, and income inequality in developing nations
title_auth	Globalization of production, manufacturing employment, and income inequality in developing nations
abstract	Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings.
abstractGer	Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings.
abstract_unstemmed	Theories of income distribution in developing nations suggest contrasting expectations regarding how employment industrialization affects income inequality. However, past studies have not considered how the globalization of production shapes the relationship between manufacturing share of employment and income inequality in developing countries. Relatedly, social scientists argue that the globalization of production has exacerbated inequality, but past cross-national research focused on the Global South has yielded inconsistent findings regarding the trade-inequality link. In this article, I draw on the political economy literature focused on the distributional effects of global value chains (GVCs) in the developing world and argue that the rise of globalized production in recent decades has undermined the egalitarian characteristics of the manufacturing sector. While the sector was characterized by higher wages for low-skilled workers and a compressed wage distribution, I argue that rising competition, declining bargaining power of workers, and skill-biased industrial upgrading associated with GVCs has stretched wage distributions and heightened the skill premium in the manufacturing sector. Empirical analyses of cross-national panel data from broad samples of developing nations between 1970 and 2014 suggest that global integration has diminished the equalizing effect of manufacturing employment. I conclude by discussing the prospects for inclusive development in this era of globalization as well as the theoretical and policy implications of these findings.
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title_short	Globalization of production, manufacturing employment, and income inequality in developing nations
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Globalization of production, manufacturing employment, and income inequality in developing nations

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