Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America
The authors describe the evolution of relative wages in five Latin American countries-Argentina, Brazil, Chile, Colombia, and Mexico. They use repeated cross-sections of household surveys, and decompose the evolution of relative wages into factors...
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Format: | Policy Research Working Paper |
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World Bank, Washington, DC
2014
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Online Access: | http://documents.worldbank.org/curated/en/2003/04/2280437/off-running-technology-trade-rising-demand-skilled-workers-latin-america http://hdl.handle.net/10986/18256 |
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okr-10986-182562021-04-23T14:03:42Z Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America Sanchez-Paramo, Carolina Schady, Norbert TECHNOLOGICAL CHANGE TECHNOLOGICAL KNOWLEDGE TECHNOLOGICAL CAPACITY SKILLED WORKERS EMPLOYMENT SKILLS IMPORT LIBERALIZATION IMPORT DEMAND CAPITAL GOODS LABOR DEMAND PRODUCTIVITY WAGE LEVELS LABOR MARKET CHARACTERISTICS ADDITION AGED AGGREGATE DEMAND ANNUAL CHANGE AVERAGE SHARE CAPITAL GOODS CHEMISTRY COMPOSITION CONSTANT ELASTICITY CROSS-COUNTRY STUDIES DEMAND CURVE DEMAND SIDE DEMAND-SIDE DEVELOPING COUNTRIES ECONOMIC DOWNTURNS ELASTICITY ELASTICITY OF SUBSTITUTION ENGINEERING FRACTIONS GDP GINI COEFFICIENT GROWTH RATES HOUSEHOLD DATA HOUSEHOLD SURVEYS HUMAN CAPITAL IMPORTS INCOME INEQUALITY INTERNATIONAL TRADE LABOR FORCE LABOR MARKET LITERATURE MATHEMATICS MINIMUM WAGES NATURAL SCIENCES NEGATIVE COEFFICIENTS OBSERVED CHANGES PHYSICS POLICY IMPLICATIONS POLICY RESEARCH POSITIVE CORRELATION POSITIVE IMPACT PRIMARY EDUCATION PRODUCTION FUNCTION PRODUCTIVITY REAL WAGES RELATIVE DEMAND RELATIVE IMPORTANCE RELATIVE SUPPLY RELATIVE WAGES RISING DEMAND SCHOOLS SECTOR EMPLOYMENT SKILLED LABOR SKILLED WORKERS TECHNOLOGICAL CHANGE TERTIARY EDUCATION TIME SERIES TRADE LIBERALIZATION UNEMPLOYMENT UNEMPLOYMENT RATE UNEMPLOYMENT RATES VALUE ADDED WAGES WORKERS YOUNG WORKERS The authors describe the evolution of relative wages in five Latin American countries-Argentina, Brazil, Chile, Colombia, and Mexico. They use repeated cross-sections of household surveys, and decompose the evolution of relative wages into factors associated with changes in relative supply and relative demand. The authors have three main conclusions: 1) Increases in the relative wages of the most skilled (university-educated) workers took place concurrently with increases in their relative abundance in all of the countries except Brazil. This is strong evidence of increases in the demand for skilled workers. 2) Increases in the wage bill of skilled workers occurred largely within sectors, and in the same sectors in different countries, which is consistent with skill-biased technological change. 3) Trade appears to be an important transmission mechanism. Increases in the demand for the most skilled workers took place at a time when countries in Latin America considerably increased the penetration of imports, including imports of capital goods. The authors show that changes in the volume and research and development intensity of imports are significantly related to changes in the demand for more skilled workers in Latin America. Their research complements earlier work on the effects of technology transmitted through trade on productivity and on the demand for skilled labor. 2014-05-12T18:21:55Z 2014-05-12T18:21:55Z 2003-04 http://documents.worldbank.org/curated/en/2003/04/2280437/off-running-technology-trade-rising-demand-skilled-workers-latin-america http://hdl.handle.net/10986/18256 English en_US Policy Research Working Paper;No. 3015 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Latin America |
repository_type |
Digital Repository |
institution_category |
Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English en_US |
topic |
TECHNOLOGICAL CHANGE TECHNOLOGICAL KNOWLEDGE TECHNOLOGICAL CAPACITY SKILLED WORKERS EMPLOYMENT SKILLS IMPORT LIBERALIZATION IMPORT DEMAND CAPITAL GOODS LABOR DEMAND PRODUCTIVITY WAGE LEVELS LABOR MARKET CHARACTERISTICS ADDITION AGED AGGREGATE DEMAND ANNUAL CHANGE AVERAGE SHARE CAPITAL GOODS CHEMISTRY COMPOSITION CONSTANT ELASTICITY CROSS-COUNTRY STUDIES DEMAND CURVE DEMAND SIDE DEMAND-SIDE DEVELOPING COUNTRIES ECONOMIC DOWNTURNS ELASTICITY ELASTICITY OF SUBSTITUTION ENGINEERING FRACTIONS GDP GINI COEFFICIENT GROWTH RATES HOUSEHOLD DATA HOUSEHOLD SURVEYS HUMAN CAPITAL IMPORTS INCOME INEQUALITY INTERNATIONAL TRADE LABOR FORCE LABOR MARKET LITERATURE MATHEMATICS MINIMUM WAGES NATURAL SCIENCES NEGATIVE COEFFICIENTS OBSERVED CHANGES PHYSICS POLICY IMPLICATIONS POLICY RESEARCH POSITIVE CORRELATION POSITIVE IMPACT PRIMARY EDUCATION PRODUCTION FUNCTION PRODUCTIVITY REAL WAGES RELATIVE DEMAND RELATIVE IMPORTANCE RELATIVE SUPPLY RELATIVE WAGES RISING DEMAND SCHOOLS SECTOR EMPLOYMENT SKILLED LABOR SKILLED WORKERS TECHNOLOGICAL CHANGE TERTIARY EDUCATION TIME SERIES TRADE LIBERALIZATION UNEMPLOYMENT UNEMPLOYMENT RATE UNEMPLOYMENT RATES VALUE ADDED WAGES WORKERS YOUNG WORKERS |
spellingShingle |
TECHNOLOGICAL CHANGE TECHNOLOGICAL KNOWLEDGE TECHNOLOGICAL CAPACITY SKILLED WORKERS EMPLOYMENT SKILLS IMPORT LIBERALIZATION IMPORT DEMAND CAPITAL GOODS LABOR DEMAND PRODUCTIVITY WAGE LEVELS LABOR MARKET CHARACTERISTICS ADDITION AGED AGGREGATE DEMAND ANNUAL CHANGE AVERAGE SHARE CAPITAL GOODS CHEMISTRY COMPOSITION CONSTANT ELASTICITY CROSS-COUNTRY STUDIES DEMAND CURVE DEMAND SIDE DEMAND-SIDE DEVELOPING COUNTRIES ECONOMIC DOWNTURNS ELASTICITY ELASTICITY OF SUBSTITUTION ENGINEERING FRACTIONS GDP GINI COEFFICIENT GROWTH RATES HOUSEHOLD DATA HOUSEHOLD SURVEYS HUMAN CAPITAL IMPORTS INCOME INEQUALITY INTERNATIONAL TRADE LABOR FORCE LABOR MARKET LITERATURE MATHEMATICS MINIMUM WAGES NATURAL SCIENCES NEGATIVE COEFFICIENTS OBSERVED CHANGES PHYSICS POLICY IMPLICATIONS POLICY RESEARCH POSITIVE CORRELATION POSITIVE IMPACT PRIMARY EDUCATION PRODUCTION FUNCTION PRODUCTIVITY REAL WAGES RELATIVE DEMAND RELATIVE IMPORTANCE RELATIVE SUPPLY RELATIVE WAGES RISING DEMAND SCHOOLS SECTOR EMPLOYMENT SKILLED LABOR SKILLED WORKERS TECHNOLOGICAL CHANGE TERTIARY EDUCATION TIME SERIES TRADE LIBERALIZATION UNEMPLOYMENT UNEMPLOYMENT RATE UNEMPLOYMENT RATES VALUE ADDED WAGES WORKERS YOUNG WORKERS Sanchez-Paramo, Carolina Schady, Norbert Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America |
geographic_facet |
Latin America & Caribbean Latin America |
relation |
Policy Research Working Paper;No. 3015 |
description |
The authors describe the evolution of
relative wages in five Latin American countries-Argentina,
Brazil, Chile, Colombia, and Mexico. They use repeated
cross-sections of household surveys, and decompose the
evolution of relative wages into factors associated with
changes in relative supply and relative demand. The authors
have three main conclusions: 1) Increases in the relative
wages of the most skilled (university-educated) workers took
place concurrently with increases in their relative
abundance in all of the countries except Brazil. This is
strong evidence of increases in the demand for skilled
workers. 2) Increases in the wage bill of skilled workers
occurred largely within sectors, and in the same sectors in
different countries, which is consistent with skill-biased
technological change. 3) Trade appears to be an important
transmission mechanism. Increases in the demand for the most
skilled workers took place at a time when countries in Latin
America considerably increased the penetration of imports,
including imports of capital goods. The authors show that
changes in the volume and research and development intensity
of imports are significantly related to changes in the
demand for more skilled workers in Latin America. Their
research complements earlier work on the effects of
technology transmitted through trade on productivity and on
the demand for skilled labor. |
format |
Publications & Research :: Policy Research Working Paper |
author |
Sanchez-Paramo, Carolina Schady, Norbert |
author_facet |
Sanchez-Paramo, Carolina Schady, Norbert |
author_sort |
Sanchez-Paramo, Carolina |
title |
Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America |
title_short |
Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America |
title_full |
Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America |
title_fullStr |
Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America |
title_full_unstemmed |
Off and Running? Technology, Trade and the Rising Demand for Skilled Workers in Latin America |
title_sort |
off and running? technology, trade and the rising demand for skilled workers in latin america |
publisher |
World Bank, Washington, DC |
publishDate |
2014 |
url |
http://documents.worldbank.org/curated/en/2003/04/2280437/off-running-technology-trade-rising-demand-skilled-workers-latin-america http://hdl.handle.net/10986/18256 |
_version_ |
1764439485982965760 |