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Title:Paying more to hire the best? Foreign firms, wages and worker mobility PDF Logo
Authors:Martins, Pedro Silva
Issue Date:2008
Series/Report no.:IZA Discussion Papers 3607
Abstract:In the context of the debate on the labour-market consequences of globalisation, we examine worker mobility in order to identify the wage differences between foreign and domestic firms. Using matched employer-employee panel data for Portugal, we consider virtually all spells of interfirm mobility over a period of ten years. We find that foreign firms offer significantly more generous wage policies, although there is also a (smaller) selection effect. The results are robust to the consideration of wage growth differences, the case of displaced workers and different subsets of workers.
Subjects:Foreign direct investment
worker displacement
wage growth
JEL:J31
Persistent Identifier of the first edition:urn:nbn:de:101:1-2008072929
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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