China Import Penetration, Local Employer Concentration, and Wages
| Dep. Var.: Log Avg. Wages | ||||
|---|---|---|---|---|
| County | CZ | |||
| SIC3 (1) | SIC4 (2) | SIC3 (3) | SIC4 (4) | |
| log(HHI, ind–local–year) | -0.009 | -0.015 | -0.004 | -0.008 |
| -3.02 | -5.32 | -1.25 | -2.99 | |
| China exposure (ind–year) | 0.000 | -0.001 | 0.000 | -0.001 |
| -2.99 | -7.06 | -2.37 | -6.90 | |
| log(emp, ind–local–year) | 0.026 | 0.023 | 0.027 | 0.024 |
| 17.36 | 16.84 | 14.51 | 13.40 | |
| log(labor productivity) | 0.078 | 0.078 | 0.078 | 0.078 |
| 38.34 | 38.00 | 32.81 | 32.74 | |
| log(plants per segment) | -0.020 | -0.016 | -0.020 | -0.017 |
| -11.00 | -9.01 | -9.76 | -8.14 | |
| log(plants per firm) | -0.004 | -0.007 | -0.005 | -0.007 |
| -1.85 | -3.41 | -1.88 | -3.04 | |
| Plant age (/100) | 0.341 | 0.337 | 0.357 | 0.352 |
| 26.74 | 26.21 | 27.09 | 25.82 | |
| Year fixed effects | Y | Y | Y | Y |
| Firm fixed effects | Y | Y | Y | Y |
| Observations | 350,000 | 350,000 | 350,000 | 350,000 |
| R2 | 0.5349 | 0.5327 | 0.5345 | 0.5330 |
Notes: This table examines the effects of employer concentration in a local labor market on wages controlling for the effect of import penetration from China on wages. The dependent variable is the log of average wages per worker as defined in Table 1. log(HHI) and log(employment) are lagged by one year. China exposure is defined as total value of import from China to the U.S. scaled by total employment at the industry by year level. Columns 1 and 2 (Columns 3 and 4) present estimates using counties (CZs) to define local labor markets. Columns 1 and 3 (Columns 2 and 4) present estimates using three- (four-) digit SIC industries to compute HHI, log(employment), and log(plants per segment). The t-statistics based on standard errors adjusted for sample clustering at the county or CZ level are reported below the coefficient estimates. The numbers of observations are rounded to the nearest thousands to follow the U.S. Census Bureau’s disclosure rules.