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This paper investigates the effects of the takeover of a domestic establishment by foreign owners on the domestic target's development of wages for skilled and unskilled workers. We pay particular attention to identifying the causal effect, using a propensity score matching approach combined...
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that there is an inverted-U relationship between wage inequality and multinationals, i.e., with the increasing presence of … multinationals, wage inequality first increases, reaches a maximum, and decreases eventually. (Weltwirtschaftliches Archiv/SWP) …
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