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Employment Growth and International Trade: A Small Open Economy Perspective

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Author Info

  • Ibsen, Rikke

    (Department of Economics, Aarhus School of Business)

  • Warzynski, Frederic

    () (Department of Economics, Aarhus School of Business)

  • Westergård-Nielsen, Niels

    () (Department of Economics, Aarhus School of Business)

Abstract

In this paper, we use a detailed dataset containing information about all international trade transactions of the population of Danish firms over more than a decade to analyze the relationship between export and import decisions and employment growth. We further distinguish between imports of final goods and imports of intermediate products. We find that both imports and exports decisions are positively related to employment growth. Interestingly, both finished goods and intermediate goods imports have a positive link. We also control for the re-exporting process, i.e. firms importing final goods to re-export them afterwards.

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File URL: http://www.hha.dk/nat/wper/09-9_fwanwn.pdf
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Bibliographic Info

Paper provided by University of Aarhus, Aarhus School of Business, Department of Economics in its series Working Papers with number 09-9.

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Length: 33 pages
Date of creation: 01 May 2009
Date of revision:
Handle: RePEc:hhs:aareco:2009_009

Contact details of provider:
Postal: The Aarhus School of Business, Prismet, Silkeborgvej 2, DK 8000 Aarhus C, Denmark
Phone: +45 89 486396
Fax: +45 8615 5175
Web page: http://www.asb.dk/departments/nat.aspx
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Related research

Keywords: international trade; employment growth; offshoring;

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Cited by:
  1. Wagner, Joachim, 2011. "Productivity and International Firm Activities: What Do We Know?," IZA Policy Papers 23, Institute for the Study of Labor (IZA).

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