Higher Wages in Exporting Firms: Self-selection, Export Effect, or Both? First Evidence from Linked Employer-Employee Data
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Microeconometrics of International Trade. ed. / Joachim Wagner. World Scientific Publishing Co., 2016. p. 215-241.
Research output: Contributions to collected editions/works › Chapter › peer-review
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TY - CHAP
T1 - Higher Wages in Exporting Firms
T2 - Self-selection, Export Effect, or Both? First Evidence from Linked Employer-Employee Data
AU - Schank, Thorsten
AU - Schnabel, Claus
AU - Wagner, Joachim
N1 - Publisher Copyright: © 2016 by World Scientific Publishing Co. Pte. Ltd.
PY - 2016/7/1
Y1 - 2016/7/1
N2 - While it is a stylized fact that exporting firms pay higher wages than non-exporting firms, the direction of the link between exporting and wages is less clear. Using a rich set of German linked employer-employee panel data, we follow over time plants that start to export. We show that the exporter wage premium does already exist in the years before firms start to export, and that it does not increase in the following years. Higher wages in exporting firms are thus due to self-selection of more productive, better paying firms into export markets; they are not caused by export activities.
AB - While it is a stylized fact that exporting firms pay higher wages than non-exporting firms, the direction of the link between exporting and wages is less clear. Using a rich set of German linked employer-employee panel data, we follow over time plants that start to export. We show that the exporter wage premium does already exist in the years before firms start to export, and that it does not increase in the following years. Higher wages in exporting firms are thus due to self-selection of more productive, better paying firms into export markets; they are not caused by export activities.
KW - exporter wage premium
KW - Exports
KW - Germany
KW - wages
KW - Economics
UR - http://www.scopus.com/inward/record.url?scp=85135651682&partnerID=8YFLogxK
UR - https://www.mendeley.com/catalogue/13f20bd0-1eb0-3c0b-9982-d9e3d6e95ff5/
U2 - 10.1142/9789813109698_0006
DO - 10.1142/9789813109698_0006
M3 - Chapter
AN - SCOPUS:85135651682
SN - 9789813109681
SP - 215
EP - 241
BT - Microeconometrics of International Trade
A2 - Wagner, Joachim
PB - World Scientific Publishing Co.
ER -