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RIEB, Kobe University Site Map Access 日本語 Home Research & Education Publications RIEB Discussion Paper Series (English) RIEB Discussion Paper Series No.2013-19 RIEB Discussion Paper Series No.2013-19 Title Trade Liberalization and Skill Premium in Chile Abstract This study empirically analyzes whether trade liberalization increases wage inequality between skilled and unskilled workers in Chile during 1974–2007. The findings show that tariff reductions contributed to increases in wage inequality by causing price reductions of unskilled labor-intensive goods protected with the highest tariffs prior to trade liberalization. In contrast, we found no evidence that new technologies embodied in capital and intermediate goods caused skill-biased technological change. In addition, this study shows that an increase in the relative supply of college equivalents did not contribute to wage equalization, while an increase in the minimum wages contributed to wage equalization during the period of the democratic governments. Keywords JEL Classification --> Inquiries Yoshimichi MURAKAMIResearch Institute for Economics and Business AdministrationKobe UniversityRokkodai-cho, Nada-ku, Kobe657-8501 JapanPhone: +81-78-803-7036FAX: +81-78-803-7059 About RIEB Faculty Seminars at RIEB Research & Education Sections Kobe University Site Policy Site Map Access Contact Us Copyright©1996-2018 Research Institute for Economics and Business Administration, Kobe University. All Rights Reserved.