Relationship Between Chinese Imports and Unemployment in Peru
Evidence 2007 – 2019
DOI:
https://doi.org/10.18259/Keywords:
imports, unemployment, labor market, international trade, China, PeruAbstract
This study examines how the evolution of Chinese imports relates to unemployment in Peru during the period 2007–2019, within a context of trade integration. The central objective is to empirically explore whether the sustained growth of these trade flows coincides with observable variations in the urban labor market. To this end, official data from SUNAT and INEI are used; a linear regression model is estimated to be using Ordinary Least Squares, accompanied by standard econometric diagnostic tests. The results suggest an inverse association between the dynamics of Chinese imports and the urban unemployment rate, which, while statistically robust, has a limited economic magnitude. Overall, the evidence indicates that the effects of trade with China on aggregate urban unemployment are moderate and conditioned by sectoral adjustment mechanisms, justifying further analysis with greater disaggregation.
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