Do exporters really pay higher wages? First evidence from German linked employer-employee data

Thorsten Schank (), Claus Schnabel () and Joachim Wagner ()

No 28, Working Paper Series in Economics from University of Lüneburg, Institute of Economics

Abstract: Many plant-level studies find that average wages in exporting firms are higher than in non-exporting firms from the same industry and region. This paper uses a large set of linked employer-employee data from Germany to analyze this exporter wage premium. We show that the wage differential becomes smaller but does not completely vanish when observable and unobservable characteristics of the employees and of the work place are controlled for. For example, blue-collar (white-collar) employees working in a plant with an export-sales ratio of 60 percent earn about 1.8 (0.9) percent more than similar employees in otherwise identical non-exporting plants.

Keywords: Export; wages; exporter wage premium; linked employer-employee data; Germany (search for similar items in EconPapers)
JEL-codes: F10 D21 L60 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int and nep-lab
Date: Written
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Journal Article: Do exporters really pay higher wages? First evidence from German linked employer-employee data (2007)
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