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Trade, Wages, and Collective Bargaining: Evidence from France

Author

Listed:
  • Juan Carluccio

    (Banque de France - Banque de France, UNIS - University of Surrey)

  • Denis Fougère

    (LIEPP - Laboratoire interdisciplinaire d'évaluation des politiques publiques (Sciences Po) - Sciences Po - Sciences Po, CEPR, CNRS - Centre National de la Recherche Scientifique, CREST - Centre de Recherche en Économie et Statistique - ENSAI - Ecole Nationale de la Statistique et de l'Analyse de l'Information [Bruz] - X - École polytechnique - IP Paris - Institut Polytechnique de Paris - ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique - CNRS - Centre National de la Recherche Scientifique, Banque de France - Banque de France)

  • Erwan Gautier

    (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes, Banque de France - Banque de France)

Abstract

We estimate the impact of international trade on wages using detailed data for French manufacturing firms. We instrument firm-level trade flows with firm-specific instrumental variables based on world demand and supply shocks. Both export and offshoring shocks have a positive effect on wages. Exports increase wages similarly for all occupational categories while offshoring has heterogeneous effects. The impact of trade shocks on wages is heterogeneous across bargaining regimes. In firms with collective bargaining, the elasticity of wages with respect to both exports and offshoring is higher than in firms with no collective bargaining. The wage gains associated with collective bargaining are similar across worker categories.

Suggested Citation

  • Juan Carluccio & Denis Fougère & Erwan Gautier, 2014. "Trade, Wages, and Collective Bargaining: Evidence from France," Working Papers hal-01093629, HAL.
    • Handle: RePEc:hal:wpaper:hal-01093629
    DOI: 10.2139/ssrn.2469169
    Note: View the original document on HAL open archive server: https://hal.science/hal-01093629
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    References listed on IDEAS

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    More about this item

    Keywords

    exports; offshoring; firm-level wages; collective bargaining.;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity

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