empirical analysis of the relationship between trade, technical progress, and the labor market in West Germany for the period … the labor market and allows for three skill types of labor. The major findings are that, relative to skilled labor, wages … were increasing disproportionately both for low- and high-skilled labor whereas employment trends were favoring higher …

the wage distribution. This paper uses the IAB employment subsample 1975-2001 to describe the empirics of labor market … transitions and the wage structure in Germany. Motivated by search theory, we use the data to explore descriptively labor market … conclude that indeed a close relationship exists between wages and labor market transitions as predicted by search theory …