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Trade and Labour Market Outcomes in Germany

Author

Listed:
  • Holger Görg

    (Kiel Institute for the World Economy)

  • Dennis Görlich

    (Kiel Institute for the World Economy)

Abstract

The German economy is characterized by a high degree of foreign exposure through exports and imports. This paper considers the link between trade and labour market outcomes in Germany. To that end we combine individual-level data from the German Socio Economic Panel for the period 1999 to 2007 with industry-level data on various aspects of trade – exports, imports and offshoring. We consider their effects on wages and the probability of moving into unemployment. Our econometric analysis suggests that there is little impact of trade-related variables on individual-level wages, whereas there appears to be some impact with respect to employment. We find some important differences between manufacturing and services sectors, in particular with regard to exporting and offshoring.

Suggested Citation

  • Holger Görg & Dennis Görlich, 2011. "Trade and Labour Market Outcomes in Germany," OECD Trade Policy Papers 125, OECD Publishing.
    • Handle: RePEc:oec:traaab:125-en
    DOI: 10.1787/5kg3nh94z5r8-en
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    Citations

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    Cited by:

    1. Adriana Peluffo, 2021. "The Impact of Export Destination on Skills in a Middle-Income Country," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 13(3), pages 317-340, September.
    2. Connolly, Laura, 2022. "The effects of a trade shock on gender-specific labor market outcomes in Brazil," Labour Economics, Elsevier, vol. 74(C).
    3. Görlich, Dennis & Stepanok, Ignat & Al-Hussami, Fares, 2013. "Youth unemployment in Europe and the world: Causes, consequences and solutions," Kiel Policy Brief 59, Kiel Institute for the World Economy (IfW Kiel).

    More about this item

    Keywords

    employment; inclusive growth; trade; wages;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions

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