Labor market adjustments after a large import shock: Evidence from the German clothing industry and the WTO Agreement on Textiles and Clothing

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Globalization and its impact on the employment prospects and wages of domestic workers have been a mayor source of concern in many industrialized countries. In this paper, we use a quasi-experimental design by exploiting a large import shock caused by the final two stages of the phasing-out of the WTO Agreement on Textiles and Clothing (ATC) that hit the German clothing industry after 2002. Using a non-affected but similar industry, the shoe industry, as a control group, we study labor market adjustments on both the firm and the individual level.
Original languageEnglish
Title of host publicationDaten in der wirtschaftswissenschaftlichen Forschung : Festschrift zum 65. Geburtstag von Prof. Dr. Joachim Merz
EditorsDierk Hirschel, Peter Paic, Markus Zwick
Number of pages24
Place of PublicationWiesbaden
PublisherGabler Verlag
Publication date2013
ISBN (print)978-3-658-03455-9
ISBN (electronic)978-3-658-03456-6
Publication statusPublished - 2013