More important than ever: Employment content of extra-EU exports

Zornitsa Kutlina-Dimitrova and José Rueda-Cantuche

No 2021-2, DG TRADE Chief Economist Notes from Directorate General for Trade, European Commission

Abstract: • In 2019, extra-EU exports of goods and services are more important than ever, supporting 38 million jobs in the EU. This corresponds to an increase of 11 million jobs in one decade. On average, each billion euro of EU exports to third countries supported about 12,000 jobs in the EU. • European workers from all Member States benefit from EU exports. These job opportunities are due to exporting firms expanding sales outside the EU but also because firms supply indirectly goods and services to exporting industries. Almost one fifth or 6.5 million jobs supported by extra-EU exports are in firms providing intermediate inputs along the Single Market supply chains. • Export-related jobs in the EU are, on average, 12% better paid than other jobs. The export wage premium ranges from 5% to 14%, depending on workers’ skill level and occupational profile. • With the expansion of global value chains, EU exports support jobs in our trading partners in addition to jobs sustained domestically. Almost 24 million jobs beyond the EU are supported by EU exports, thanks to EU firms participating in global supply chains.

Keywords: EU; international trade; input-output modelling; employment (search for similar items in EconPapers)
JEL-codes: B27 C67 F16 (search for similar items in EconPapers)
Pages: 27 pages
Date: 2021-11-11
New Economics Papers: this item is included in nep-int
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:ris:dgtcen:2021_002

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