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Introduction and Overview D.Greenaway, R.Upward & P.Wright Globalistion and Turnover C.Davidson & S.Matusz The Wage and Unemployment Impacts of Trade Adjustment P.Bastos & J.Silva Trade and Rising Wage Inequality: What Can We Learn from a Decade of Computable General Equilibrium Analysis? N.Winchester Unemployment in Models of International Trade U.Kreickemeier Human Capital and Adjustment to Trade R.Falvey, D.Greenaway & J.Silva Trade Adjustment and Occupational Mobility R.Upward & P.Wright The Labour Market Implications of Fragmentation and Trade under Imperfect Competition B.Dluhosch The Labour Market Impact of International Outsourcing I.Geishecker, H.Gorg & S.Maioli Immigration and Labour Market Adjustment A.Hijzen & D.Nelson

In recent years the labour market consequences of trade liberalisation appear to have become a major source of anxiety. The spectre that freer trade leads to job josses and induces a ‘race to the bottom’ in wages appears to be widespread among the general public, and has frequently spilled over into the policy arena.1 These concerns are not inconsequential. In the European Union, for example, negative perceptions towards globalisation were highlighted as one of the main reasons for the recent rejection of the European constitution by French and Dutch voters (Niblett, 2005). At the same time, opinion polls carried out in the older member states point to a rising anti-Europe attitude, partly reflecting fears that an enlarged Europe may be amplifying the threats of globalisation by opening borders to cheaper labour and products from the new member states (Dempsey, 2005).2 Concerns about this issue are also evident in the US. In a speech made just before his visit to China in March 2007, Treasury Secretary Henry Paulson Jr. argued that: Despite our healthy economy and rising living standards, more and more Americans seem to doubt that trade brings greater benefits than costs. Some politicians from both parties, reflecting what they are hearing from their constituents, are moving further toward embracing protectionism. This is a worrisome trend. (…) We must make it a priority to help workers succeed in our rapidly changing and increasingly global economy, while maintaining our commitment to open markets and the benefits that come with them.3

Institutional changes in telecommunications services have revolutionized the way national governments and multilateral agencies treat the sector. In Latin America, changes have been especially dramatic since new regulation has given rise to a completely different group of actors and industry structure. This chapter looks at the impact of international telecommunications agreements on Latin America. First, a framework is developed in section 6.2 in order to analyze conflicts, challenges and local interests in the telecommunications services sector. Second, multilateral and regional agreements are reviewed, namely the General Agreement on Trade in Services (GATS), Mercosur and NAFTA. The effect these agreements have had on telecommunications regulations in Latin America is analyzed in section 6.3. Finally, the chapter investigates conflicts and reactions to the new agenda. These include convergence and divergence in Latin American national policies concerning competition, propriety, safeguards, countervailing duties and antidumping measures. The argument stems from proper identification of factors affecting national telecommunications policies, including the relationship between national regulation agencies and distinct lobbies: users, equipment and service suppliers, existing regulated firms, new entrants and international agreements.