World Markets and Local Markets: Using Integrated Employer-Employee Data for the Unites States To Study the Effects of Globalization on Local Labor Markets
John M. Abowd1, Kevin L. McKinney2, Lars Vilhuber1
1School of Industrial and Labor Relations, Cornell University, Ithaca, NY, United States; 2Center for Economic Studies, United States Census Bureau, Washington, DC, United States

The United States Census Bureau produces the Quarterly Workforce Indicators (QWI) and OnTheMap (OTM) as public-use data products with extensive local labor market information. The underlying microdata are produced and maintained by the Longitudinal Employer-Household Dynamics (LEHD) Program, which is part of the Center for Economic Studies at the Bureau. Both data releases cover more than 95% of the private domestic labor market with geographic detail at the county level for QWI and the Census block level for OTM. The data releases are designed to permit detailed analysis of local labor market conditions. Flow statistics include gross job creations, destructions, accessions, and separations. Stock statistics include employment, monthly earnings, and residential locations (OTM only). The QWI time series extend back to the mid-1990s for most areas, and are essentially complete from 2000 forward. Our paper will measure industrial globalization using public data on imports and exports by NAICS. These are national data. The primary measurement issue addressed is the decomposition of local flows into components statistically related to trade data and components related to local labor market conditions. The paper emphasizes the measurements that can only be accomplished using the integrated employer-employee data. Only public-use statistics will be used for the data analysis.

Keywords: Local labor markets; Job creation; Linked employer-employee data; Globalization

Biography: John M. Abowd is the Edmund Ezra Day Professor of Industrial and Labor Relations, Professor of Information Science, and Director of Graduate Studies in Economics at Cornell University. He is also Distinguished Senior Research Fellow at the United States Census Bureau, where he has participated in the design and analysis of the Longitudinal Employer-Household Dynamics Program, the Bureau's longitudinally linked employer-employee data system.