Online Exports and the Wage Gap

The development of the Internet is often seen as a source of demand for skilled workers and therefore a potential driver of the wage gap between skilled and unskilled workers. This paper focuses on the impact that international trade in online plat...

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Main Authors: Cruz, Marcio, Milet, Emmanuel, Olarreaga, Marcelo
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/500301502116884158/Online-exports-and-the-wage-gap
http://hdl.handle.net/10986/27967
id okr-10986-27967
recordtype oai_dc
spelling okr-10986-279672021-06-08T14:42:48Z Online Exports and the Wage Gap Cruz, Marcio Milet, Emmanuel Olarreaga, Marcelo WAGE GAPS E-COMMERCE LABOR MARKET ONLINE EXPORTS EXPORT COMPETITIVENESS The development of the Internet is often seen as a source of demand for skilled workers and therefore a potential driver of the wage gap between skilled and unskilled workers. This paper focuses on the impact that international trade in online platforms has on the wage gap. Because online trade allows smaller firms with relatively more unskilled workers to access world markets it can be expected a priori that an expansion of online exports reduces the wage gap. After correcting for potential endogeneity bias in a sample of 22 developing countries for which online trade and wage gap data can be matched, the study finds that a 1 percent increase in the share of online exports over GDP leads to a 0.01 percent decline in the wage gap. 2017-08-24T20:45:38Z 2017-08-24T20:45:38Z 2017-08 Working Paper http://documents.worldbank.org/curated/en/500301502116884158/Online-exports-and-the-wage-gap http://hdl.handle.net/10986/27967 English en_US Policy Research Working Paper;No. 8160 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper
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 WAGE GAPS
E-COMMERCE
LABOR MARKET
ONLINE EXPORTS
EXPORT COMPETITIVENESS
spellingShingle WAGE GAPS
E-COMMERCE
LABOR MARKET
ONLINE EXPORTS
EXPORT COMPETITIVENESS
Cruz, Marcio
Milet, Emmanuel
Olarreaga, Marcelo
Online Exports and the Wage Gap
relation Policy Research Working Paper;No. 8160
description The development of the Internet is often seen as a source of demand for skilled workers and therefore a potential driver of the wage gap between skilled and unskilled workers. This paper focuses on the impact that international trade in online platforms has on the wage gap. Because online trade allows smaller firms with relatively more unskilled workers to access world markets it can be expected a priori that an expansion of online exports reduces the wage gap. After correcting for potential endogeneity bias in a sample of 22 developing countries for which online trade and wage gap data can be matched, the study finds that a 1 percent increase in the share of online exports over GDP leads to a 0.01 percent decline in the wage gap.
format Working Paper
author Cruz, Marcio
Milet, Emmanuel
Olarreaga, Marcelo
author_facet Cruz, Marcio
Milet, Emmanuel
Olarreaga, Marcelo
author_sort Cruz, Marcio
title Online Exports and the Wage Gap
title_short Online Exports and the Wage Gap
title_full Online Exports and the Wage Gap
title_fullStr Online Exports and the Wage Gap
title_full_unstemmed Online Exports and the Wage Gap
title_sort online exports and the wage gap
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/500301502116884158/Online-exports-and-the-wage-gap
http://hdl.handle.net/10986/27967
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