Import competition and labor regulation: Worker-level evidence

Sergi Basco, Maxime Liégey, Martí Mestieri and Gabriel Smagghue

Economics Letters, 2025, vol. 254, issue C

Abstract: How does labor regulation shape worker adjustment to import competition? We estimate the effect of collective agreements on French workers’ earnings during the rise of Chinese im- port competition. Using a nationally-representative matched employer-employee panel and collective agreements data, we document that the negative effect of Chinese competition on workers’ earnings is stronger in more regulated industries. In addition, we find that this ex- acerbation effect is concentrated among workers in low-wage occupations, such as technical staff and skilled production workers.

Keywords: Import Competition; Labor Regulation; Occupations (search for similar items in EconPapers)
JEL-codes: F11 F14 F16 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:254:y:2025:i:c:s0165176525002587

DOI: 10.1016/j.econlet.2025.112421

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