Drusilla K. Brown
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NBER Working Papers and Publications
|February 2004||The Effects of Multinational Production on Wages and Working Conditions in Developing Countries|
with Alan Deardorff, Robert Stern
in Challenges to Globalization: Analyzing the Economics, Robert E. Baldwin and L. Alan Winters, editors
|May 2003||The Effects of Multinational Production on Wages and Working Conditions in Developing Countries|
with Alan V. Deardorff, Robert M. Stern: w9669
This paper assesses the evidence regarding the effects of multinational production on wages and working conditions in developing countries. It is motivated by recent controversies concerning whether multinational firms in developing countries exploit workers by paying low wages and subjecting them to substandard conditions. We first address efforts of activist groups, universities, and colleges in the Anti-Sweatshop' Campaign in the United States, the social accountability of multinational firms, and the role of such international institutions as the International Labor Organization and World Trade Organization in dealing with labor standards and trade. We then consider conceptually how foreign direct investment might affect host-country wages. Available theories yield ambiguous predi...
Published: The Effects of Multinational Production on Wages and Working Conditions in Developing Countries, Drusilla K. Brown, Alan Deardorff, Robert Stern. in Challenges to Globalization: Analyzing the Economics, Baldwin and Winters. 2004