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worker and firm heterogeneity. I find that minimum wages up to 70% of the median wage significantly increase productivity …This paper studies the employment and reallocation effects of minimum wages in Germany in a search-and-matching model … the minimum wage cuts deep into the wage distribution. I show that gradually implementing a high minimum wage is necessary …
Persistent link: https://www.econbiz.de/10014356608
recent years despite the sizable contribution of firm training to the overall stock of worker human capital. We engage with … debates related to firm training, including training taxes, training subsidies, non-compete agreements, and the minimum wage …
Persistent link: https://www.econbiz.de/10014290178
This paper evaluates the worker-level effects of a historically large and permanent increase in the minimum wage in … Lithuania. Our identification strategy leverages variation in workers' exposure to the new minimum wage, and exploits the fact … that there has been no increase in the minimum wage in previous years, to account for heterogeneous labor market prospects …
Persistent link: https://www.econbiz.de/10013470323
We use anonymized data from Facebook to construct a new measure of the pairwise social connectedness between 180 countries and 332 European regions. We find that two countries trade more with each other when they are more socially connected and when they share social connections with a similar...
Persistent link: https://www.econbiz.de/10012834994
Is the variation in bilateral trade flows across countries primarily due to differences in the number of exporting firms (the extensive margin) or in the average size of an exporter (the intensive margin)? And how does this affect the estimation and quantitative implications of the Melitz (2003)...
Persistent link: https://www.econbiz.de/10012890632
We analyze how trade openness matters for interstate conflict over productive resources. Our analysis features a terms-of-trade channel that makes security policies trade-regime dependent. Specifically, trade between two adversaries reduces each one’s incentive to arm given the opponent’s...
Persistent link: https://www.econbiz.de/10012892081
We develop a network trade model with country-sector level input-output linkages. It includes (1) domestic and global value chain linkages between all country-sectors, (2) direct as well as indirect shipments (via other sectors and countries) to a final destination, (3) value added rather than...
Persistent link: https://www.econbiz.de/10012892112
We challenge the common practice of estimating gravity equations with time-interval data in order to capture dynamic-adjustment effects to trade-policy changes. Instead, we point to a series of advantages of using consecutive-year data recognizing dynamic-adjustment effects. Our analysis reveals...
Persistent link: https://www.econbiz.de/10012822506
For a long time, China's impressive growth performance has been driven by investment and high productivity gains. Based on the recent discussion on possible overcapacities and overinvestment in China, the paper investigates the sustainability of China's investment- and export-driven growth...
Persistent link: https://www.econbiz.de/10012866404
The recent literature on firm-to-firm trade has documented salient empirical regularities of the buyer-seller network. We propose a simplistic re-interpretation of the classical Krugman (1980) model that accounts for surprisingly many of the empirical regularities. This re-interpretation relies...
Persistent link: https://www.econbiz.de/10013224077