International Trade and Individual Labour Market Perspectives – A Micro-Level Analysis of German Manufacturing Workers

37 Pages Posted: 19 May 2010

See all articles by Maren Lurweg

Maren Lurweg

University of Münster

Nicole Uhde

Center of Applied Economic Research Muenster

Date Written: May 1, 2010

Abstract

This paper studies the impact of international trade on individual labour market outcomes in the German manufacturing sector for the period 1995-2006. Combining micro-level data from the German Socioeconomic Panel and industry-level trade data from input-output tables, we examine the impacts on (1) job-to-unemployment transitions and (2) annual earnings. The probability of becoming unemployed rises when workers are employed in Trade Sensitive industries and decreases for workers in Trade Gaining industries. Wage effects are statistically significant for three of four trade-exposed groups of industries, but they are relatively small. The personal characteristics of workers seem to exert a substantial effect on employment status and earnings level.

Keywords: International trade, employment status, individual wages

JEL Classification: F16, C23, J31, J63

Suggested Citation

Lurweg, Maren and Uhde, Nicole, International Trade and Individual Labour Market Perspectives – A Micro-Level Analysis of German Manufacturing Workers (May 1, 2010). SOEPpaper No. 297, Available at SSRN: https://ssrn.com/abstract=1611630 or http://dx.doi.org/10.2139/ssrn.1611630

Maren Lurweg (Contact Author)

University of Münster ( email )

Schlossplatz 2
Muenster, D-48149
Germany

Nicole Uhde

Center of Applied Economic Research Muenster ( email )

Schlossplatz 2
Muenster, D-48149
Germany

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