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ICT Adoption and Wage Inequality : Evidence from Mexican Firms / Iacovone, Leonardo.
World Bank Open Knowledge Repository (formerly "World Bank E-Library Publications") Available online
View online- Format:
- Book
- Government document
- Author/Creator:
- Iacovone, Leonardo.
- Series:
- Policy research working papers.
- World Bank e-Library.
- Language:
- English
- Subjects (All):
- ICT.
- Inequality.
- Information and Communication Technologies.
- Jobs.
- Labor Demand.
- Marketing.
- Private Sector Development.
- Private Sector Development Law.
- Private Sector Economics.
- Skills.
- Social Protections and Labor.
- Technical Change.
- Technology.
- Technology Industry.
- Technology Innovation.
- Wages.
- Local Subjects:
- ICT.
- Inequality.
- Information and Communication Technologies.
- Jobs.
- Labor Demand.
- Marketing.
- Private Sector Development.
- Private Sector Development Law.
- Private Sector Economics.
- Skills.
- Social Protections and Labor.
- Technical Change.
- Technology.
- Technology Industry.
- Technology Innovation.
- Wages.
- Physical Description:
- 1 online resource (70 pages)
- Other Title:
- ICT Adoption and Wage Inequality
- Place of Publication:
- Washington, D.C. : The World Bank, 2018.
- System Details:
- data file
- Summary:
- This paper uses a panel of firms from the Mexican Economic Censuses and analyzes at the microeconomic level how labor markets adapt to the adoption of information and communication technologies. The paper studies the effects of the adoption of information and communication technologies over the labor structure of the firm and wages. Thus, it assesses whether increasing the use of information and communication technologies leads to an increasing demand for skilled relative to low-skilled labor, and, thus, analyzes its effects on the wage gap between the two groups. The results of this analysis show that there is indeed an effect of the adoption of information and communication technologies over the demand for higher-skilled workers. However, for the manufacturing and services sectors, instead of increasing the wage gap between skilled and unskilled workers, the wage gap decreases. The results for the manufacturing sector appear to be driven by an increasing sophistication of blue-collar workers due to the organizational adjustments derived from the adoption of information and communication technologies.
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