The paper investigates the relative importance of trade and immigration for earnings and job mobility of male German workers. Using panel data, changes of workplace within a firm and between firms are separated from occupational changes. Various subgroups are investigated, differentiating between blue and white collar workers according to job level and work experience. The general finding is that trade matters more than migration, which is contrary to the public attention both determinants receive, at least in Germany. While wages are affected negatively by a relative increase in imports, immigration exhibits a positive effect. Trade seems to depress occupational mobility and internal movement, but stimulates inter-firm changes. Immigration affects intra-firm changes negatively, but is largely unrelated to other aspects of labour mobility.
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
1318.
Find related papers by JEL classification: C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models F10 - International Economics - - Trade - - - General F22 - International Economics - - International Factor Movements and International Business - - - International Migration J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials J62 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Job, Occupational and Intergenerational Mobility; Promotion
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