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Adjusting to Globalization in Germany

Wolfgang Dauth, Sebastian Findeisen and Jens Suedekum ()

No 11299, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We study the impact of trade exposure in the job biographies, measured with daily accuracy, of 2.4 million workers in Germany. To profit from export opportunities, workers adjust through increased employer switching. Highly skilled workers benefit the most, consistent with an increase in skill demand. The incidence of import shocks falls mostly on low-skilled workers, as they are not able to adjust as well as medium- and high-skilled workers. Imports also destroy rents by workers at high-wage plants who separate from their original firm. We connect our results to the growing theoretical literature on the labor market effects of trade.

Keywords: work biographies; individual labor market responses; international trade; worker mobility; Germany (search for similar items in EconPapers)
JEL-codes: F16 J31 R11 (search for similar items in EconPapers)
Pages: 44 pages
Date: 2018-01
New Economics Papers: this item is included in nep-int and nep-lma
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Working Paper: Adjusting to Globalization in Germany (2019) Downloads
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