Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout

We study the effect of Brazil’s staggered Internet rollout between 2000 and 2014 on municipality employment and wages. We use a new annual data-set on Internet availability from the Brazil school census, with the assumption that the share of schools that have Internet access in each municipality ref...

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Main Authors:	Dutz, Mark A., Ferreira Mation, Lucas, O'Connell, Stephen D., Willig, Robert D.
Format:	Journal Article
Language:	en_US
Published:	Taylor and Francis 2017
Subjects:	LABOR DEMAND FIRM GROWTH LABOR MARKETS INTERNET BROADBAND TECHNOLOGY
Online Access:	http://hdl.handle.net/10986/27673

id	okr-10986-27673
recordtype	oai_dc
spelling	okr-10986-276732021-05-25T10:54:42Z Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout Dutz, Mark A. Ferreira Mation, Lucas O'Connell, Stephen D. Willig, Robert D. LABOR DEMAND FIRM GROWTH LABOR MARKETS INTERNET BROADBAND TECHNOLOGY We study the effect of Brazil’s staggered Internet rollout between 2000 and 2014 on municipality employment and wages. We use a new annual data-set on Internet availability from the Brazil school census, with the assumption that the share of schools that have Internet access in each municipality reflects general accessibility of Internet connections. We combine these data with Brazil’s rich matched employer–employee survey (RAIS), which contains annual occupation and wage earnings information for all formally employed workers in Brazil across all sectors, including primary, secondary, and tertiary industry groups. We consider both contemporaneous and lagged effects. We find that increased Internet access has no statistically significant net effect on aggregate employment and has a negative effect on average wages, with a reduction in measures of wage dispersion. Brazil’s Internet rollout results in employment shifts from sectors with more limited expansion opportunities (wholesale and retail trade, public administration and largely publicly owned utilities, that jointly comprise almost half of the formal workforce in 2010) to sectors with more output expansion opportunities. Employment effects are positive and most pronounced in manufacturing, transport and storage, finance and insurance, and hospitality industry groups. In the manufacturing sector, Internet access induces positive employment and wage effects in both medium- and high-skill occupations. 2017-08-08T17:19:28Z 2017-08-08T17:19:28Z 2017-05-03 Journal Article Forum for Social Economics 0736-0932 http://hdl.handle.net/10986/27673 en_US CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Taylor and Francis Publications & Research :: Journal Article Publications & Research Latin America & Caribbean Brazil
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	en_US
topic	LABOR DEMAND FIRM GROWTH LABOR MARKETS INTERNET BROADBAND TECHNOLOGY
spellingShingle	LABOR DEMAND FIRM GROWTH LABOR MARKETS INTERNET BROADBAND TECHNOLOGY Dutz, Mark A. Ferreira Mation, Lucas O'Connell, Stephen D. Willig, Robert D. Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout
geographic_facet	Latin America & Caribbean Brazil
description	We study the effect of Brazil’s staggered Internet rollout between 2000 and 2014 on municipality employment and wages. We use a new annual data-set on Internet availability from the Brazil school census, with the assumption that the share of schools that have Internet access in each municipality reflects general accessibility of Internet connections. We combine these data with Brazil’s rich matched employer–employee survey (RAIS), which contains annual occupation and wage earnings information for all formally employed workers in Brazil across all sectors, including primary, secondary, and tertiary industry groups. We consider both contemporaneous and lagged effects. We find that increased Internet access has no statistically significant net effect on aggregate employment and has a negative effect on average wages, with a reduction in measures of wage dispersion. Brazil’s Internet rollout results in employment shifts from sectors with more limited expansion opportunities (wholesale and retail trade, public administration and largely publicly owned utilities, that jointly comprise almost half of the formal workforce in 2010) to sectors with more output expansion opportunities. Employment effects are positive and most pronounced in manufacturing, transport and storage, finance and insurance, and hospitality industry groups. In the manufacturing sector, Internet access induces positive employment and wage effects in both medium- and high-skill occupations.
format	Journal Article
author	Dutz, Mark A. Ferreira Mation, Lucas O'Connell, Stephen D. Willig, Robert D.
author_facet	Dutz, Mark A. Ferreira Mation, Lucas O'Connell, Stephen D. Willig, Robert D.
author_sort	Dutz, Mark A.
title	Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout
title_short	Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout
title_full	Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout
title_fullStr	Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout
title_full_unstemmed	Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout
title_sort	economy-wide and sectoral impacts on workers of brazil's internet rollout
publisher	Taylor and Francis
publishDate	2017
url	http://hdl.handle.net/10986/27673
_version_	1764465859438313472

Economy-wide and Sectoral Impacts on Workers of Brazil's Internet Rollout

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