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Trade and Manufacturing Jobs in Germany

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2017

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Dauth, Wolfgang
Suedekum, Jens

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https://doi.org/10.1257/aer.p20171025
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American Economic Review. 2017, 107(5), pp. 337-342. ISSN 0002-8282. eISSN 1944-7981. Available under: doi: 10.1257/aer.p20171025

Zusammenfassung

The German economy exhibits rising service and declining manufacturing employment, but this decline is much sharper in import-competing than export-oriented branches. We first document the individual-level job transitions behind those trends. They are not driven by manufacturing workers who smoothly switch to services. The observed shifts are entirely due to young entrants and returnees from non-employment. We then investigate if rising trade with China and Eastern Europe causally affected those labor flows. Exploiting variation across industries and regions, we find that globalization did not speed up the manufacturing decline in Germany. It even retained those jobs in the economy.

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ISO 690DAUTH, Wolfgang, Sebastian FINDEISEN, Jens SUEDEKUM, 2017. Trade and Manufacturing Jobs in Germany. In: American Economic Review. 2017, 107(5), pp. 337-342. ISSN 0002-8282. eISSN 1944-7981. Available under: doi: 10.1257/aer.p20171025
BibTex
@article{Dauth2017-05Trade-47680,
  year={2017},
  doi={10.1257/aer.p20171025},
  title={Trade and Manufacturing Jobs in Germany},
  number={5},
  volume={107},
  issn={0002-8282},
  journal={American Economic Review},
  pages={337--342},
  author={Dauth, Wolfgang and Findeisen, Sebastian and Suedekum, Jens}
}
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