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The effect of trade on earnings--evidence from Swedish micro data

Author

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  • Per-Anders Edin
  • Peter Fredriksson
  • Per Lundborg

Abstract

Using a large longitudinal data set, we study the effects of increased trade on earnings in the Swedish labor market. Earnings respond significantly to changes in industry sales, whether generated by domestic market forces or international trade: Swedish exports (imports) raise (lower) annual earnings, but changes in trade affect earnings just as any other shift in market conditions. We also examine whether the effects of trade vary by skill. We do not find systematic differences in the effects of trade across the skill distribution. Copyright 2004, Oxford University Press.

Suggested Citation

  • Per-Anders Edin & Peter Fredriksson & Per Lundborg, 2004. "The effect of trade on earnings--evidence from Swedish micro data," Oxford Economic Papers, Oxford University Press, vol. 56(2), pages 231-241, April.
  • Handle: RePEc:oup:oxecpp:v:56:y:2004:i:2:p:231-241
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    Cited by:

    1. Jakob Munch & Jan Skaksen, 2009. "Specialization, outsourcing and wages," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 145(1), pages 57-73, April.
    2. Andersen, Torben M & Sorensen, Allan, 2005. "Product Market Integration, Wages and Inequality," CEPR Discussion Papers 4963, C.E.P.R. Discussion Papers.
    3. Elżbieta Stępień, 2009. "The Impact of International Trade and Foreign Competition on Labour Earnings in Poland," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 24.

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