This paper investigates the impacts of the trade opening and the intra-industry trade on wage inequalities between qualified and less qualified workers in the Brazilian manufacturing industry through a model of intra-industry trade. Twenty-two kinds of Brazilian manufacturing industry during the period from 1992-2001 were examined, on the level of two and three digits of the "Classificação Nacional de Atividades Econômicas " (National Classification of Economic Activities). The main conclusion was that the magnifying of income inequalities between qualified and less qualified workers was strongly influenced by the intensification of intra-industry trade and that separating intra-industry trade from inter-industry trade is fundamental for a better understanding of the effects of international trade on the relative income of skilled workers in the Brazilian manufacturing industry.
international trade; wage inequalities; manufacturing industry; panel data
