Sectoral Adjustment of Employment: The Impact of Outsourcing and Trade at the Micro Level

Egger, Peter and Pfaffermayr, Michael and Weber, Andrea (November 2003) Sectoral Adjustment of Employment: The Impact of Outsourcing and Trade at the Micro Level. IHS Economics Series 145

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Abstract or Table of Contents

Abstract: This paper analyzes the effects of trade and outsourcing on the transition probabilities of employment between sectors, using a dynamic multinomial logit framework with fixed effects. The data contain individual Austrian male workers over the period 1988-2001. Our results strongly support the view that international economic forces are important determinants of labor market turnover. Increases in imports, terms of trade and, especially, in the outsourcing share negatively affect the probability of staying in or changing into the manufacturing sector, even more so for industries with a comparative disadvantage.;

Item Type: IHS Series
Keywords: 'Labor market turnover' 'Outsourcing' 'Dynamic discrete choice' 'Fixed effects panel estimation'
Classification Codes (e.g. JEL): F16, J63, C23, C25
Status: Published
Date Deposited: 26 Sep 2014 10:37
Last Modified: 24 Jul 2017 01:49
URI: http://irihs.ihs.ac.at/id/eprint/1529

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