Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/145168
Authors: 
Baziki, Selva B.
Ginja, Rita
Borota Milicevic, Teodora
Year of Publication: 
2016
Series/Report no.: 
IZA Discussion Papers 10034
Abstract: 
This paper provides new evidence on the reallocation of workers across firms and industries with different technologies in response to increased import competition from developing countries. Using employer-employee matched data for the Swedish manufacturing sector, we find increased assortative matching of workers in ICT (information and communication technologies) intensive industries, that is, high(low)-wage workers sort into high(low)-wage firms. Industries with low ICT intensity do not exhibit these sorting patterns. A labour market matching model explains the increased assortative matching in ICT intensive industries in response to stronger import competition through an increase in the relative demand for qualified workers.
Subjects: 
wage inequality
employment dynamics
assortative matching
import competition
technological change
JEL: 
F16
J63
O33
Document Type: 
Working Paper

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