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The effect of import penetration on labor market outcomes in Austrian manufacturing industry

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Author Info
Özlem Onaran () (Department of Economics, Vienna University of Economics & B.A.)

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Abstract

This paper estimates the effects of imports on employment, wages, and the wage share in Austria for the period of 1990-2005 using panel data of manufacturing industry. Imports are disaggregated according to their origin and as final vs. intermediate imports. There is evidence of significant negative effects of imports on employment, wages and the wage share. Particularly workers in high skilled sectors experience negative effects. Offshoring to both Eastern Europe and the developed countries have a negative impact on employment, whereas offshoring to the East has a positive effect on wages, indicating the dominance of scope effects.

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File URL: http://www.wu-wien.ac.at/inst/vw1/papers/wu-wp119.pdf
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Paper provided by Vienna University of Economics and B.A., Department of Economics in its series Department of Economics Working Papers with number wuwp119.

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Date of creation: Mar 2008
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Handle: RePEc:wiw:wiwwuw:wuwp119

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Find related papers by JEL classification:
F29 - International Economics - - International Factor Movements and International Business - - - Other
O52 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Europe
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General

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  1. Feenstra, R.C. & Hanson, G.H., 1995. "Foreign Investment, Outsourcing and Relative Wages," Department of Economics 95-14, California Davis - Department of Economics.
    Other versions:
  2. Greenaway, David & Hine, Robert C. & Wright, Peter, 1999. "An empirical assessment of the impact of trade on employment in the United Kingdom," European Journal of Political Economy, Elsevier, vol. 15(3), pages 485-500, September. [Downloadable!] (restricted)
  3. Helmut Hofer & Peter Huber, 2003. "Wage and Mobility Effects of Trade and Migration on the Austrian Labour Market," Empirica, Springer, vol. 30(2), pages 107-125, June. [Downloadable!] (restricted)
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  4. Hartmut Egger & Peter Egger, 2000. "Outsourcing and skill-specific employment in a small economy: Austria and the fall of the Iron Curtain," Economics working papers 2000-24, Department of Economics, Johannes Kepler University Linz, Austria. [Downloadable!]
  5. Gerald Epstein, 2000. "Threat Effects and the Impact of Capital Mobility on Wages and Public Finances: Developing a Research Agenda," Working Papers wp7, Political Economy Research Institute, University of Massachusetts at Amherst. [Downloadable!]
  6. Fritz Breuss & Fritz Schebeck, 1999. "Costs and Benefits of EU Eastern Enlargement for Austria," Austrian Economic Quarterly, WIFO, vol. 4(1), pages 43-53, January. [Downloadable!] (restricted)
  7. Paul Krugman, 1995. "Growing World Trade: Causes and Consequences," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 26(1995-1), pages 327-377. [Downloadable!]
  8. Donald R. Davis & Prachi Mishra, 2007. "Stolper-Samuelson Is Dead: And Other Crimes of Both Theory and Data," NBER Chapters, in: Globalization and Poverty, pages 87-108 National Bureau of Economic Research, Inc. [Downloadable!]
  9. Aiginger, Karl & Winter-Ebmer, Rudolf & Zweimüller, Josef, 1995. "East European Trade and the Austrian Labour Market," CEPR Discussion Papers 1168, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  10. Borjas, G.J. & Freeman, R.B. & Katz, L.F., 1991. "On The Labor Market Effects Of Immigration And Trade," Harvard Institute of Economic Research Working Papers 1556, Harvard - Institute of Economic Research.
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