Labor Policy and Digital Technology Use : Indicative Evidence from Cross-Country Correlations
This paper exploits variation in country-level indicators drawn from published data to analyze the relationship between labor regulation and the use of digital technology. The analysis shows a statistically and economically significant association...
Main Authors: | , |
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Format: | Working Paper |
Language: | English en_US |
Published: |
World Bank, Washington, DC
2017
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/510571508329712207/Labor-policy-and-digital-technology-use-indicative-evidence-from-cross-country-correlations http://hdl.handle.net/10986/28556 |
Summary: | This paper exploits variation in
country-level indicators drawn from published data to
analyze the relationship between labor regulation and the
use of digital technology. The analysis shows a
statistically and economically significant association
between digital technology use by firms and a country's
statutory minimum wage and employment protection
regulations. The results are robust to the inclusion of
controls for level of development, economic stability,
available infrastructure, and trade openness. To ensure the
broadest country coverage, the paper develops new indexes of
employment protection, using the World Bank's Doing
Business indicators, which allow several aspects of labor
market regulation—such as restrictions on hours and hiring,
dismissal procedures, and severance costs--to be analyzed separately. |
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