Journal Article

Labor market globalization in the recession and beyond

Abstract: Two types of immigration, physical (immigration that brings the workers to the work) and virtual (immigration that moves the work rather than the workers, involving the long-distance delivery of services), have contributed to globalization of the labor force over the past quarter century. In the past two years, recession has spread to most parts of the world, slowing or even reversing globalization's momentum. The slowdown has taken a toll on both physical and virtual immigration. In recovery, the long-term factors supporting cross-border integration of trade, finance and labor are likely to reemerge, although it may take time to fully restore globalization's momentum. The outlook could change if hard times linger and countries succumb to protectionist temptations, setting off a destructive process of deglobalization.

Keywords: Globalization; Emigration and immigration; Telecommunication; Labor market; Recessions;

Bibliographic Information

Provider: Federal Reserve Bank of Dallas

Part of Series: Economic Letter

Publication Date: 2009

Volume: 4

Order Number: 10