Kiel Working Papers, Kiel Institute for World Economics
No 1005:
Globalisation and Employment in the EU Electrical Industry: A Case Study with Emphasis on Germany
Markus Diehl
Abstract: The development of production, prices and employment in
the EU electrical industry between the mid-1970s and the mid-1990s is
analysed in order to test the hypothesis that the competitive pressure from
low-income countries has led to the observed decline of the employment
share of low-skilled workers. The direct effect of increased import
competition on relative employment seems to be small, except for the case
of consumer electronics. Apparently, adjustment strategies induced by
globalisation pressures (e.g., investment in machinery and R&D) had a large
skill bias. Structural change both between and within major subsegments of
the electrical industry is analysed in more detail for the case of West
Germany.
Keywords: international trade; employment; process innovations; international outsourcing; capital-skill complementarity.; (follow links to similar papers)
JEL-Codes: F14; J31; L63; (follow links to similar papers)
54 pages, October 2000
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