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Do exporters really pay higher wages? First evidence from German linked employer-employee data

  • Many plant-level studies find that average wages in exporting firms are higher than in non-exporting firms from the same industry and region. This paper uses a large set of linked employer-employee data from Germany to analyze this exporter wage premium. We show that the wage differential becomes smaller but does not completely vanish when observable and unobservable characteristics of the employees and of the work place are controlled for. For example, blue-collar (white-collar) employees working in a plant with an export-sales ratio of 60 percent earn about 1.8 (0.9) percent more than similar employees in otherwise identical non-exporting plants.

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Author:Thorsten Schank, Claus Schnabel, Joachim WagnerORCiDGND
Series (Serial Number):University of Lüneburg Working paper series in economics (28)
Document Type:ResearchPaper
Year of Completion:2006
Date of Publication (online):2006/06/23
Release Date:2006/06/23
Tag:Exports; Germany; exporter wage premium; linked employer-employee data; wages
GND Keyword:Export; Lohn; Deutschland; Arbeitgeber; Arbeitnehmer
Institutes:Universität / Frühere Fachbereiche
Dewey Decimal Classification:3 Sozialwissenschaften / 33 Wirtschaft / 330 Wirtschaft