Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia

This paper studies the relationship between information and communication technology, labor demand, and total factor productivity in Colombia. It estimates total factor productivity for the Colombian manufacturing sector using a method that assumes...

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Main Author:	Ospino, Carlos
Format:	Working Paper
Language:	English
Published:	World Bank, Washington, DC 2018
Subjects:	INTERNET BROADBAND LABOR MARKET LABOR DEMAND TOTAL FACTOR PRODUCTIVITY PRODUCTION FUNCTION ICT INFORMATION AND COMMUNICATION TECHNOLOGY
Online Access:	http://documents.worldbank.org/curated/en/781921516821720202/Broadband-internet-labor-demand-and-total-factor-productivity-in-Colombia http://hdl.handle.net/10986/29284

id	okr-10986-29284
recordtype	oai_dc
spelling	okr-10986-292842021-06-08T14:42:48Z Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia Ospino, Carlos INTERNET BROADBAND LABOR MARKET LABOR DEMAND TOTAL FACTOR PRODUCTIVITY PRODUCTION FUNCTION ICT INFORMATION AND COMMUNICATION TECHNOLOGY This paper studies the relationship between information and communication technology, labor demand, and total factor productivity in Colombia. It estimates total factor productivity for the Colombian manufacturing sector using a method that assumes a law of motion where total factor productivity evolves according to an autoregressive process of order 1 as well as with the past use of broadband technologies. Using fixed effects models, the paper estimates the effect of broadband use on the labor demand of different workers, controlling for total factor productivity, capital, and wages. To address the potential endogeneity between broadband adoption and labor demand, the analysis uses state-industry level variation in broadband quality (speed) and intensity of use. The results show a positive association of broadband adoption on labor demand, suggesting that adoption of information and communication technology can offset the employment effects of technological growth. Attempts to identify causal effects using an instrumental variable approach were inconclusive. 2018-01-31T19:54:11Z 2018-01-31T19:54:11Z 2018-01 Working Paper http://documents.worldbank.org/curated/en/781921516821720202/Broadband-internet-labor-demand-and-total-factor-productivity-in-Colombia http://hdl.handle.net/10986/29284 English Policy Research Working Paper;No. 8318 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 Latin America & Caribbean Colombia
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English
topic	INTERNET BROADBAND LABOR MARKET LABOR DEMAND TOTAL FACTOR PRODUCTIVITY PRODUCTION FUNCTION ICT INFORMATION AND COMMUNICATION TECHNOLOGY
spellingShingle	INTERNET BROADBAND LABOR MARKET LABOR DEMAND TOTAL FACTOR PRODUCTIVITY PRODUCTION FUNCTION ICT INFORMATION AND COMMUNICATION TECHNOLOGY Ospino, Carlos Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia
geographic_facet	Latin America & Caribbean Colombia
relation	Policy Research Working Paper;No. 8318
description	This paper studies the relationship between information and communication technology, labor demand, and total factor productivity in Colombia. It estimates total factor productivity for the Colombian manufacturing sector using a method that assumes a law of motion where total factor productivity evolves according to an autoregressive process of order 1 as well as with the past use of broadband technologies. Using fixed effects models, the paper estimates the effect of broadband use on the labor demand of different workers, controlling for total factor productivity, capital, and wages. To address the potential endogeneity between broadband adoption and labor demand, the analysis uses state-industry level variation in broadband quality (speed) and intensity of use. The results show a positive association of broadband adoption on labor demand, suggesting that adoption of information and communication technology can offset the employment effects of technological growth. Attempts to identify causal effects using an instrumental variable approach were inconclusive.
format	Working Paper
author	Ospino, Carlos
author_facet	Ospino, Carlos
author_sort	Ospino, Carlos
title	Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia
title_short	Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia
title_full	Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia
title_fullStr	Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia
title_full_unstemmed	Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia
title_sort	broadband internet, labor demand, and total factor productivity in colombia
publisher	World Bank, Washington, DC
publishDate	2018
url	http://documents.worldbank.org/curated/en/781921516821720202/Broadband-internet-labor-demand-and-total-factor-productivity-in-Colombia http://hdl.handle.net/10986/29284
_version_	1764468959570034688

Broadband Internet, Labor Demand, and Total Factor Productivity in Colombia

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