Exporting and labor demand: Micro-level evidence from Germany

Andreas Lichter, Andreas Peichl and Sebastian Siegloch

No 14-013, ZEW Discussion Papers from ZEW - Leibniz Centre for European Economic Research

Abstract: It is widely believed that globalization affects the extent of employment and wage responses to economic shocks. To provide evidence for this, we analyze the effect of firms' exporting behavior on the elasticity of labor demand. Using rich, German administrative linked employer-employee panel data from 1996 to 2008, we explicitly control for self-selection into exporting and endogeneity concerns. In line with our theoretical model, we find that exporting at both the intensive and extensive margins significantly increases the (absolute value of the) unconditional own-wage labor demand elasticity. This is not only true for the average worker, but also for different skill groups. For the median firm, the elasticity is three-quarters higher when comparing exporting to nonexporting firms.

Keywords: trade; export; labor demand; wage elasticity; administrative microdata (search for similar items in EconPapers)
JEL-codes: F16 F66 J23 (search for similar items in EconPapers)
Date: 2014
New Economics Papers: this item is included in nep-eur, nep-int, nep-lab, nep-lma and nep-sog
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/91725/1/777848198.pdf (application/pdf)

Related works:
Journal Article: Exporting and labour demand: Micro-level evidence from Germany (2017)
Journal Article: Exporting and labour demand: Micro‐level evidence from Germany (2017)
Working Paper: Exporting and Labor Demand: Micro-level Evidence from Germany (2014)
Working Paper: Exporting and Labor Demand: Micro-Level Evidence from Germany (2013)
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:zbw:zewdip:14013

Access Statistics for this paper

More papers in ZEW Discussion Papers from ZEW - Leibniz Centre for European Economic Research Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().