Relative wage variation and industry location in the United Kingdom

Andrew B. Bernard, Stephen J. Redding, Peter K. Schott, Helen Simpson

Research output: Contribution to journalArticlepeer-review

9 Scopus citations


This paper shows that both relative wages and industry structure vary considerably across regions of the United Kingdom. In accordance with the neoclassical model of trade, regions abundant in a factor (i) exhibit lower relative prices of that factor than regions scarce in the factor, and (ii) tend to specialize in a mix of industries intensive in the use of the factor. We show that this specialization leads UK regions to be asymmetrically exposed to external macroeconomic or international trade shocks.

Original languageEnglish (US)
Pages (from-to)431-459
Number of pages29
JournalOxford Bulletin of Economics and Statistics
Issue number4
StatePublished - Aug 2008
Externally publishedYes

All Science Journal Classification (ASJC) codes

  • Statistics and Probability
  • Social Sciences (miscellaneous)
  • Economics and Econometrics
  • Statistics, Probability and Uncertainty


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