Arbeitspapier

Identifying rent-sharing using firms' energy input mix

We present causal evidence on the rent-sharing elasticity of German manufacturing firms. We develop a new firm-level Bartik instrument for firm rents that combines the firms' predetermined energy input mix with national energy carrier price changes. Reduced-form evidence shows that higher energy prices depress wages. Instrumental variable estimation yields a rent-sharing elasticity of approximately 0.20. Rent-sharing induced by energy price variation is asymmetric and driven by energy price increases, implying that workers do not benefit from energy price reductions but are harmed by price increases. The rent-sharing elasticity is substantially larger in small (0.26) than in large (0.17) firms.

Sprache
Englisch

Erschienen in
Series: IWH Discussion Papers ; No. 19/2022

Klassifikation
Wirtschaft
Single Equation Models: Single Variables: Instrumental Variables (IV) Estimation
Wages, Compensation, and Labor Costs: General
Energy; Environment
Thema
Bartik instrument
energy prices
rent-sharing
wage inequality

Ereignis
Geistige Schöpfung
(wer)
Mertens, Matthias
Müller, Steffen
Neuschäffer, Georg
Ereignis
Veröffentlichung
(wer)
Halle Institute for Economic Research (IWH)
(wo)
Halle (Saale)
(wann)
2022

Handle
URN
urn:nbn:de:gbv:3:2-911332
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

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ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Mertens, Matthias
  • Müller, Steffen
  • Neuschäffer, Georg
  • Halle Institute for Economic Research (IWH)

Entstanden

  • 2022

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