Perceived Job Insecurity, Unemployment Risk and International Trade: A Micro-Level Analysis of Employees in German Service Industries
AbstractThe present paper investigates the impact of international trade on individual labour market outcomes in the German service sector for the period 1995-2006. Combiningmicro-level data from the German Socio-Economic Panel (SOEP) and industry-level trade data from input-output tables, we examine the impacts of international trade on (1) the individually reported fear of job loss and (2) job-to-unemployment transitions. We therefore apply both a "subjective" and a more "objective" measure of job insecurity. Our results indicate that international trade does indeed affect labour market outcomes in German service industries. Employees in trading service sectors face both a higher subjective and objective unemployment risk, regardless of their skill level. Moreover, growth in real net exports is positively correlated with perceived job insecurity and individual unemployment risk.
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Bibliographic InfoPaper provided by DIW Berlin, The German Socio-Economic Panel (SOEP) in its series SOEPpapers on Multidisciplinary Panel Data Research with number 300.
Length: 32 p.
Date of creation: 2010
Date of revision:
International trade; perceived job insecurity; employment status;
Find related papers by JEL classification:
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-06-04 (All new papers)
- NEP-EUR-2010-06-04 (Microeconomic European Issues)
- NEP-INT-2010-06-04 (International Trade)
- NEP-LAB-2010-06-04 (Labour Economics)
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