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Exports and Within-Plant Wage Distributions: Evidence from Mexico

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  • Kaplan, David
  • Verhoogen, Eric
  • ,

Abstract

This short paper examines the effect of exporting on within-plant wage distributions in employer-employee data on Mexican manufacturing plants. Using the late-1994 peso devaluation interacted with initial plant size as a source of exogenous variation in exporting and focusing on wages at the 10th, 25th, 50th, 75th and 90th percentiles within each plant, we document three patterns: (1) there is no evidence of an effect of exporting on wages at the 10th percentile; (2) the wage effects of exporting are larger at higher percentiles, up to the 75th; and (3) there is no evidence of an increase in dispersion within the top quartile.

Suggested Citation

  • Kaplan, David & Verhoogen, Eric & ,, 2012. "Exports and Within-Plant Wage Distributions: Evidence from Mexico," CEPR Discussion Papers 8835, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:8835
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    References listed on IDEAS

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    More about this item

    Keywords

    Exports; Wage distribution;

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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