Labor share, foreign demand and superstar exporters

• 成果类型: Article
• 署名作者: Panon, Ludovic
• 署名单位: European Central Bank; Bank of Italy
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2022.103678
• 发表日期: 2022
• 关键词: labor share; Superstar firms; Foreign demand; monopolistic competition; Variable markups; international trade

摘要

This paper proposes a new determinant of labor share changes. Using micro-data on the universe of French manufacturing exporters over 1995-2007, I show that a measure of export demand growth exogenous to firm-level outcomes drives down the manufacturing labor share through two effects. First, foreign demand shocks allow low-labor share, highly internationalized super-star exporters to grow disproportionately more. Second, foreign demand growth decreases the labor share of exporters and this effect is stronger for larger exporters. Both effects generate a siz-able labor share decline, regardless of aggregate labor share dynamics. A simple heterogeneous -firm model with endogenous markups rationalizes my empirical results. Overall, these findings provide direct causal evidence of a winner take most phenomenon induced by trade globaliza-tion and emphasize the role of increased competition on international markets for labor share changes.(c) 2022 Elsevier B.V. All rights reserved.