Globalisation and Employment in the EU Electrical Industry: A Case Study with Emphasis on Germany
AbstractThe development of production, prices and employment in the EU electrical industry between the mid-1970s and the mid-1990s is analysed in order to test the hypothesis that the competitive pressure from low-income countries has led to the observed decline of the employment share of low-skilled workers. The direct effect of increased import competition on relative employment seems to be small, except for the case of consumer electronics. Apparently, adjustment strategies induced by globalisation pressures (e.g., investment in machinery and R&D) had a large skill bias. Structural change both between and within major subsegments of the electrical industry is analysed in more detail for the case of West Germany.
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Bibliographic InfoPaper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 1005.
Length: 54 pages
Date of creation: Oct 2000
Date of revision:
international trade; employment; process innovations; international outsourcing; capital-skill complementarity.;
Find related papers by JEL classification:
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
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- Baumol, William J, 1972. "Macroeconomics of Unbalanced Growth: Reply," American Economic Review, American Economic Association, vol. 62(1), pages 150, March.
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