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The Demand for Labor: An Analysis Using Matched Employer-Employee Data from the German LIAB. Will the High Unskilled Worker Own-Wage Elasticity Please Stand Up?

Author

Listed:
  • John T. Addison

    (University of South Carolina (U.S.A.), GEMF/Universidade de Coimbra (Portugal) and IZA (Germany))

  • Lutz Bellmann

    (Institut für Arbeitsmarkt- und Berufsforschung der Bundesagentur für Arbeit, Universität Hannover and IZA)

  • Thorsten Schank

    (Wirtschafts- und Sozialwissenschaftliche Fakultät, Universität Erlangen-Nürnberg)

  • Paulino Teixeira

    (GEMF and Faculdade de Economia, Universidade de Coimbra)

Abstract

This paper uses matched employee-employer LIAB data to provide panel estimates of the structure of labor demand in Germany, 1993-2002, distinguishing between highly skilled, skilled, and unskilled labor and between the manufacturing and service sectors. Reflecting current preoccupations, our demand analysis seeks also to accommodate the impact of technology and trade in addition to wages. The bottom-line interests are to provide elasticities of the demand for unskilled (and other) labor that should assist in short-run policy design and to identify the extent of skill biases or otherwise in trade and technology.

Suggested Citation

  • John T. Addison & Lutz Bellmann & Thorsten Schank & Paulino Teixeira, 2005. "The Demand for Labor: An Analysis Using Matched Employer-Employee Data from the German LIAB. Will the High Unskilled Worker Own-Wage Elasticity Please Stand Up?," GEMF Working Papers 2005-13, GEMF, Faculty of Economics, University of Coimbra.
  • Handle: RePEc:gmf:wpaper:2005-13
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    labor demand; own-wage/cross-wage elasticities; trade; technology and organizational change; linked employee-employer data; panel estimates;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • F15 - International Economics - - Trade - - - Economic Integration

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