The paper discusses the links between skill requirements in the labour market and trade patterns using a CGE applied on the SAM 2005 for Uruguay. The results for alternative scenarios in the long term show that, the wage gap would widen should the pattern of trade growth follow the current trend;...

Changes in technology and markets result in the transformation of economic structure: When labor is quasi-fixed due to short-term specificity, changing conditions may imply either temporary unemployment or the need of retraining to enable mobility across the sectors. There is an economy-wide...

Labour market condition have been very favourable in Uruguay in the last decade;however, the situation varies according to workers qualifications. This is so in terms of employment growth, unemployment rates, wage rates, and also in the presence of informality. This paper focuses on several aspects...

Standard trade theory suggests that trade liberalization produces opposite effects on human capital accumulation in developed and developing countries, reducing the incentives to invest in education in skill-scarce countries. How would conventional wisdom be modified if we introduce public...

The evidence of effects of education activities on growth is mixed. So, could education be good, neutral, or bad, depending on the case? While the model in this paper remains close to the Heckscher-Ohlin tradition, it is shown that, contrary to the standard results, it is the net effect of...

Are early leavers from the education system irrational or ill informed? They might be, but this approach shows that with underperforming education sectors – typical in developing countries – early dropout may be perfectly rational and well informed, even in the absence of liquidity...