Skill intensity and export growth in West German manufacturing

Abstract

This paper examines the relationship between the skill-structure and the export performance of 26 West German manufacturing sectors in the second half of the 1980s. Using several sets of controls it is found that export growth is inversely linked to the high-skill intensity of labour. Implications of and possible explanations for this finding are discussed.

Notes

¹ The maximum growth factor observed (2.5) is an outlier (the second largest being just 1.8). Since the weight accorded to the maximum figure is only 1.7%, this does not affect our qualitative conclusions.