Global Value Chains and Wages: International Evidence from Linked Worker-Industry Data

Aleksandra Parteka and Joanna Wolszczak-Derlacz

No 680, LIS Working papers from LIS Cross-National Data Center in Luxembourg

Abstract: Using a rich dataset on over 110,000 workers from nine European countries and the USA we study the wage response to industry dependence on foreign value added. We estimate a Mincerian wage model augmented with an input-output interindustry linkages measure accounting for task heterogeneity across workers. Low and mediumeducated workers and those performing routine tasks experience (little) wage decline due to major dependency of their industries on foreign inputs. Workers from former EU15 are more in danger of unfavourable wage effects than workers from new EU member states. American workers employed in service industries are more exposed than manufacturing workers.

Keywords: wage; global value chains; foreign value added; interindustry linkages (search for similar items in EconPapers)
JEL-codes: F14 F16 J31 (search for similar items in EconPapers)
Pages: 55 pages
Date: 2016-09
New Economics Papers: this item is included in nep-eur, nep-int, nep-mkt and nep-tid
References: View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Published in Open Economies Review, 30, (2019): 505–539. https://doi.org/10.1007/s11079-018-9518-8

Downloads: (external link)
http://www.lisdatacenter.org/wps/liswps/680.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:lis:liswps:680

Access Statistics for this paper

More papers in LIS Working papers from LIS Cross-National Data Center in Luxembourg Contact information at EDIRC.
Bibliographic data for series maintained by Piotr Paradowski ().