Adjusting to Globalization in Germany

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2021
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Dauth, Wolfgang
Suedekum, Jens
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Journal of Labor Economics ; 39 (2021), 1. - pp. 263-302. - University of Chicago Press. - ISSN 0734-306X. - eISSN 1537-5307
Abstract
We study the impact of trade exposure on the job biographies of 2.4 million manufacturing workers in Germany. Rising export opportunities lead to two equally important sources of earnings gains: on the job and employer switches within the same industry. Highly skilled workers benefit the most. Import shocks mostly hurt low-skilled workers, especially when they possess lots of industry-specific human capital. They also destroy workers’ rents when separating from high-wage plants, and they leave strongly scarring effects in the event of a mass layoff. We connect our results to the growing theoretical literature on the labor market effects of trade.
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ISO 690DAUTH, Wolfgang, Sebastian FINDEISEN, Jens SUEDEKUM, 2021. Adjusting to Globalization in Germany. In: Journal of Labor Economics. University of Chicago Press. 39(1), pp. 263-302. ISSN 0734-306X. eISSN 1537-5307. Available under: doi: 10.1086/707356
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@article{Dauth2021Adjus-51643,
  year={2021},
  doi={10.1086/707356},
  title={Adjusting to Globalization in Germany},
  number={1},
  volume={39},
  issn={0734-306X},
  journal={Journal of Labor Economics},
  pages={263--302},
  author={Dauth, Wolfgang and Findeisen, Sebastian and Suedekum, Jens}
}
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