The Causal Effects of Exporting on Domestic Workers:A Firm-Level Analysis using Japanese Data

Japan has experienced rapid growth of non-regular workers under the globalization in 2000s. This study seeks to identify the causal effects of exporting on growth of labor and growth of the share of non-regular workers in Japanese manufacturing and wholesale sectors, using an extensive firm-level data. I employ propensity score matching technique and investigate whether firms that start exporting experience higher growth of labor and higher growth of the share of non-regular workers than non-exporters. I find positive effects of exporting on labor growth in manufacturing but I find little evidence for the effects on the share of non-regular workers in both sectors.