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Labor demand: the role of imports in production
Jönköping University, Jönköping International Business School, JIBS, Economics, Finance and Statistics.
2014 (English)In: The international trade journal, ISSN 0885-3908, E-ISSN 1521-0545, Vol. 28, no 4, p. 363-386Article in journal (Refereed) Published
Abstract [en]

Can import quality affect firms’ labor demand? In this article I analyze how high- and low-quality imports affect labor demand in importing firms in Swedish manufacturing. The largest variation is observed in medium- and large-sized firms. In large firms, an increase in high-quality imports on average reduces the demand for highly educated labor—a substitution effect in production. In medium-sized firms, the effect is the opposite, thus indicating production complementarities. The largest effect, however, is observed in micro-sized firms, where a 1% increase in high-quality imports on average increases the amount of highly educated labor by 0.021%. High- and low-quality imports tend to affect the demand for low-educated labor positively in all firm size categories, hence favoring complementarity effects in production.

Place, publisher, year, edition, pages
2014. Vol. 28, no 4, p. 363-386
Keywords [en]
labor demand, production function, imports, quality, imports, manufacturing, Sweden
National Category
Economics
Identifiers
URN: urn:nbn:se:hj:diva-23221DOI: 10.1080/08853908.2014.898603OAI: oai:DiVA.org:hj-23221DiVA, id: diva2:690236
Available from: 2014-01-22 Created: 2014-01-22 Last updated: 2017-12-06Bibliographically approved
In thesis
1. Knowledge, location, and trade
Open this publication in new window or tab >>Knowledge, location, and trade
2015 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

The purpose of this thesis is to analyze how knowledge contained in traded goods influences firms’ demand for labor, and how knowledge-rich routines across space affect the innovative performance in firms and regions.

Four research questions are presented that address how knowledge can travel in space. Each research question forms an individual paper in the thesis and can be read separately. The first part of the thesis gives a general introduction and outlines the theoretical background and motivation for the research questions examined in Papers 1 through 4.

Papers 1 and 2 address how the knowledge composition of the labor force in Swedish manufacturing firms is impacted by changes in imported goods. Paper 1 analyzes imports of capital and intermediate goods and how their quality influences labor demand in different firm size categories. In Paper 2 the analysis is directed toward an examination of how offshoring of intermediate goods affects different occupations. The technology-specific content of the offshored intermediate goods is emphasized.

Moreover, Papers 3 and 4 address how knowledge embodied in exported goods and codified knowledge in patents are affected by changes in new routines. Paper 3 analyzes how firms’ knowledge absorption capacity affects the development, adoption and introduction of new export products among Swedish manufacturing firms. Finally, the focus in Paper 4 is on innovations measured in terms of local patents production in European regions. In this paper, we analyze how the local patents production in a European region benefits both from local R&D inputs in its own region and from spillovers of R&D inputs in other European regions.

Place, publisher, year, edition, pages
Jönköping: Jönköping University, Jönköping International Business School, 2015. p. 230
Series
JIBS Dissertation Series, ISSN 1403-0470 ; 101
National Category
Economics
Identifiers
urn:nbn:se:hj:diva-25754 (URN)978-91-86345-56-3 (ISBN)
Public defence
2015-01-30, B1014, Jönköping International Business School, Jönköping, 10:00
Opponent
Supervisors
Available from: 2015-01-27 Created: 2015-01-27 Last updated: 2015-12-02Bibliographically approved

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Warda, Peter

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