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| Title: | | Labor market adjustments after a large import shock: Evidence from the German clothing industry and the Multi-Fibre Arrangement  |
| Authors: | | Braakmann, Nils Wagner, Joachim |
| Issue Date: | | 2010 |
| Series/Report no.: | | Beiträge zur Jahrestagung des Vereins für Socialpolitik 2010: Ökonomie der Familie - Session: Empirical Models of Trade Policy G5-V2 |
| Abstract: | | This paper provides evidence on the labor market adjustments following a large import shock on both the individual and the firm level. We exploit a quasi-experimental shock in the German clothing industry caused by the phasing out of the Multi-Fibre Arrangement. Using the German shoe industry as a control group and administrative data, we study adjustments on the individual and firm level using difference-in-differences. Our results suggest relatively small increases in unemployment risk and no wage effects on the individual level, despite a 30% increase in plant mortality. Part of the different effects found for plants and individuals can be attributed to the reallocation of workers into other industries and occupations. |
| Subjects: | | Labor market adjustment import shock Multi-Fibre Arrangement |
| JEL: | | F13 F16 J30 |
| Document Type: | | Conference Paper |
| Appears in Collections: | | Jahrestagung des Vereins für Socialpolitik 2010 (Kiel): Ökonomie der Familie
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