Trade Adjustment Costs in Developing Countries: - World Bank ...

Trade Reform, Employment Allocation and Worker Flows 109information includes age, gender, educational attainment; job informationincludes tenure at the plant, occupation, and the monthly average wage; plantinformation includes sector and municipality classifications. To facilitate tracking,RAIS reports formal retirements and deaths on the job. RAIS identifies the plantand its firm, which in turn can be linked to firm information from outside sourcessuch as exporter data.Table 7.2: Employment by employer’s sector and export statusTraded Goods Nontraded Output Overall aPrimary Manuf. Comm. Services Other(1) (2) (3) (4) (5)Allocation of workers, nationwide1990 .021 .238 .128 .280 .333 22,8441997 .044 .195 .152 .320 .289 24,068Allocation of prime-age male workers, nationwide1990 .029 .263 .111 .284 .314 10,7631997 .063 .221 .131 .308 .278 11,483Nonexporter .882 .494 .935 .937 .930 .830Exporter .118 .506 .065 .063 .070 .170Allocation of prime-age male workers, metropolitan areas1990 .015 .270 .104 .309 .302 5,9651997 .024 .213 .125 .363 .275 6,060Nonexporter .760 .390 .887 .913 .898 .778Exporter .240 .610 .113 .087 .102 .222a Total employment (thousands of workers), scaled to population equivalent.Sources: Muendler (2008), RAIS 1990–2001 employment on December 31st, and SECEX 1990–2001.Note: Nationwide information based on 1-percent random sample, metropolitan information on 5-percent random sample. Period mean of exporter and nonexporter workforces, 1990–2001.The samples behind results reported here chiefly derive from a list of all properworker IDs (11-digit PIS) that ever appear in RAIS at the national level, fromwhich a 1 per cent nationwide random sample and a 5 per cent metropolitanrandom sample were drawn. These randomly sampled workers are then trackedthrough all their formal jobs. Industry information is mostly based on thesubsector IBGE classification (roughly comparable to the NAICS 2007 three–digitlevel), which is available by plant over the full period (see Table A7.1 in AppendixA for sector classifications). For the calculation of separation and reallocationstatistics, a worker’s separation is defined as the layoff or quit from the highestpaying job. 77 Among the male prime-age workers nationwide, 3 per cent of the job observations are simultaneoussecondary jobs. Tables 5.1, 5.2, and 5.3 are based on the so-restricted sample, whereas all aggregatestatistics, Katz-Murphy decompositions, and regressions are based on the full sample. Therestriction to a single job at any moment in time permits a precise definition of job separation as alayoff or quit from the highest-paying job (randomly dropping secondary jobs if there is a pay tie).Removing simultaneously held jobs does not significantly affect estimates of skill, occupation, andgender premia in Mincer (1974) regressions such as those reported in Table C7.1 in Appendix C.