The roles of international trade and immigration on U.S. local labor and housing market differentiation
type: CreativeWork
description: "This thesis identifies the effects of international trade and immigration on local labor and housing markets. Housing not only relates to individual welfare, but also affects the performances of local industries, such as construction, real estate, and mortgage financial service industries. Therefore, understanding the effects of international trade and immigration on housing is essential for governments to guide local development, for housing related industries to serve local economy, and for individuals to plan housing mortgage. Chapter 1, ""The Effects of Imports on Local Labor Market: A Decomposition"", uses OECD STAN Bilateral Trade Database by Industry and End-use category to study the effects of import on U.S. local labor market outcomes. The results are comparable to Autor, Dorn, and Hanson (2013), and confirm that total import reduces local wages and employment rates more in more exposed areas. Since OECD also separates import volumes by their end-use categories, I could separately examine the effects of intermediate goods import and final goods import on local labor market. The decomposition exercise indicates intermediate import is the driving force of the negative effects of total import on non-manufacturing industries. Chapter 2, ""The Dynamic Effect of Imports on U.S. Local Jobs and Housing"", highlights the link between import shocks and local housing price differentiation. In this chapter, I perform theoretical and empirical analyses to examine the dynamic effects of intermediate goods import on labor and housing markets across U.S. locations. I separate local industries into tradable and non-tradable sectors and build a two-sector spatial equilibrium model, where local housing and labor markets interact. Consistent with the model, I find that intermediate import reduces rents, housing prices, the employments and wages of both tradable and non-tradable sectors. The mechanism identified is that intermediate import first reduces the local labor demands…
abstract: "This thesis identifies the effects of international trade and immigration on local labor and housing markets. Housing not only relates to individual welfare, but also affects the performances of local industries, such as construction, real estate, and mortgage financial service industries. Therefore, understanding the effects of international trade and immigration on housing is essential for governments to guide local development, for housing related industries to serve local economy, and for individuals to plan housing mortgage. Chapter 1, ""The Effects of Imports on Local Labor Market: A Decomposition"", uses OECD STAN Bilateral Trade Database by Industry and End-use category to study the effects of import on U.S. local labor market outcomes. The results are comparable to Autor, Dorn, and Hanson (2013), and confirm that total import reduces local wages and employment rates more in more exposed areas. Since OECD also separates import volumes by their end-use categories, I could separately examine the effects of intermediate goods import and final goods import on local labor market. The decomposition exercise indicates intermediate import is the driving force of the negative effects of total import on non-manufacturing industries. Chapter 2, ""The Dynamic Effect of Imports on U.S. Local Jobs and Housing"", highlights the link between import shocks and local housing price differentiation. In this chapter, I perform theoretical and empirical analyses to examine the dynamic effects of intermediate goods import on labor and housing markets across U.S. locations. I separate local industries into tradable and non-tradable sectors and build a two-sector spatial equilibrium model, where local housing and labor markets interact. Consistent with the model, I find that intermediate import reduces rents, housing prices, the employments and wages of both tradable and non-tradable sectors. The mechanism identified is that intermediate import first reduces the local labor demands…
author: Zhang, Cong
language: en
keywords: International Trade, Immigration, Housing Market, Labor Market
date published: 2016-11-10T17:50:12Z
date modified: 2026-07-22T22:26:35Z
provider: University of Illinois - Urbana-Champaign
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: University of Illinois at Urbana-Champaign

PropertyValue
property ID: Handle
value: http://hdl.handle.net/2142/92768