TY - JOUR T1 - International Trade and Collective Bargaining Outcomes: Evidence from German Employer–Employee Data JF - The Scandinavian Journal of Economics Y1 - 2014 A1 - Gabriel Felbermayr A1 - Hans-Jörg Schmerer A1 - Andreas Hauptmann KW - collective bargaining KW - employer–employee data KW - Germany KW - trade unions AB -

In theoretical trade models with variable mark-ups and collective wage bargaining, exposure to international markets might reduce the exporter wage premium. We test this prediction using linked German employer–employee data covering the years 1996–2007. To separate the rent-sharing mechanism from assortative matching, we exploit individual worker information to construct profitability measures that are free of skill composition. Our results show that rent-sharing is less pronounced in more export-intensive firms or in more open industries. The exporter wage premium is highest for low-productivity firms. In line with theory, these findings are unique to the subsample of plants covered by collective bargaining.

VL - 116 L2 - eng ER -