Trade and jobs: a description of Swedish labor market dynamics

Hildegunn Nordås, Magnus Lodefalk and Aili Tang ()
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Aili Tang: Örebro University School of Business, Postal: Örebro University, School of Business, SE - 701 82 ÖREBRO, Sweden

No 2019:2, Working Papers from Örebro University, School of Business

Abstract: We perform a granular analysis of Swedish labor market dynamics, using matched employer employee and firm level trade data for Sweden over a 15-year period. The employment share in firms that are directly exposed to international trade has decreased, due to a shift in employment towards personal and public services. Analyzing the dynamics, we find that workers in firms that change export status are slightly less likely to obtain the same wage rise as their peers. However, workers that stay in the same job in trading firms are less affected by changes in export and offshoring volumes, with the exception of high-skilled workers in manufacturing firms who face a downward pressure on wages from services offshoring, but higher wages from services exports. Finally, we find that exports and offshoring of goods and services stimulate labor demand. While exports and offshoring of services increase relative demand for skilled workers, exports and offshoring of goods stimulate relative demand for middle and low skilled workers.

Keywords: Worker flows; Job flows; Trade; Wages; Labor Demand (search for similar items in EconPapers)
JEL-codes: E24 F16 F66 J63 P23 (search for similar items in EconPapers)
Pages: 27 pages
Date: 2019-05-21
New Economics Papers: this item is included in nep-bec, nep-eur, nep-int and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:hhs:oruesi:2019_002

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