We use a large sample of German workers to analyze the effect of low-wage competition with China and Eastern Europe (the East) on the wage structure within German manufacturing industries. Utilizing the method by Abowd et al. (1999), we decompose wages into firm and worker components. We find...

We use linked employer-employee data to estimate the effect of foreign direct investment (FDI) on workers' job stability. We are the first to consider firm-internal job transitions. Specifically, we examine the impact of FDI on the individual likelihood to up- or downgrade to occupations with...