The Impact of Inflowing Labors on Macau Wages: Evidence in Macau

DOI

10.2991/icemss.2013.65How to use a DOI?

Keywords

Inflowing Labors, Wages, VAR Model, Impulse Response

Abstract

With the rapid economic growth, importing outside labors become main method to alleviate employed population insufficiency in Macau. This paper establishes vector autoregressive (VAR) model and uses the impulse response analysis investigating the interaction effects and response path between inflowing labors and wages in various industries based on 2003-2011 quarterly data. The results of the study showed that inflowing labors would play long-term effects on manufacturing, construction, financial and tourism industrial wages. Besides inflowing labor in construction industry will faintly pull up the wages in its own industry, the same effects also happened in the other three industries, which indicated the cheap inflowing labors lower the wage costs and enhanced human resources supply in Macau. And although the import of outside labor reduces the average wages of tourism industry, positive effects on wages of other industries have been showed in a long-term crescendo which indicating the tourism as the leading industry to absorb the employed population and other industries need more inflowing labors to satisfy their job vacancy. The findings emphasize that the industrial wages really affected by inflowing labors are those with specific technical ability requirements and local workers are incapable of.

Copyright

© 2013, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Ya-Nan Song
PY  - 2013/08
DA  - 2013/08
TI  - The Impact of Inflowing Labors on Macau Wages: Evidence in Macau
BT  - Proceedings of the 2013 International Conference on Education, Management and Social Science (ICEMSS-13)
PB  - Atlantis Press
SP  - 245
EP  - 248
SN  - 1951-6851
UR  - https://doi.org/10.2991/icemss.2013.65
DO  - 10.2991/icemss.2013.65
ID  - Song2013/08
ER  -