Technology and Skill Demand in Mexico

The author investigates the effects of technology on the employment and wages of differently skilled Mexican manufacturing workers using firm panel data from 1992-99. She analyzes the relationship between technology and skill demand. Findings support the skill-biased technical change hypothesis. She then examines the temporal relationship of technology adoption to firm productivity and worker wages. The author finds that skilled labor increases after technology adoption. And wages of both skilled and semi-skilled workers exhibit markedly increased growth rates compared with the growth rate of low-skilled workers. The results show that investment in human capital improves technology-driven productivity gains.

Saved in:
Bibliographic Details
Main Author: Lopez-Acevedo, Gladys
Language:English
en_US
Published: World Bank, Washington, DC 2002-02
Subjects:ASSETS, AUTONOMY, BOOK VALUE, CHILD NUTRITION, COAL, COMPARATIVE ADVANTAGE, DECENTRALIZATION, DEVELOPED COUNTRIES, DEVELOPMENT ECONOMICS, ECONOMIC ACTIVITY, ECONOMIC GROWTH, ECONOMIC IMPLICATIONS, ECONOMIC RESEARCH, ECONOMIC SECTORS, ECONOMISTS, ELASTICITIES, EMPLOYMENT, EXCHANGE RATE, EXPORTS, FOREIGN EXCHANGE, FREE TRADE, GDP, GINI COEFFICIENT, GOVERNMENT REGULATION, GROWTH RATE, HEALTH CARE, HUMAN CAPITAL, IMMUNIZATION, IMPORTS, INCOME, INCOME INEQUALITY, INFLATION, INNOVATION, LABOR FORCE, LABOR INPUTS, LABOR MARKETS, LIVING STANDARDS, LOWERING TRADE BARRIERS, MACROECONOMIC SHOCKS, MANAGERS, MICROECONOMICS, MIGRATION, OIL, PRICE CEILINGS, PRODUCTION FUNCTION, PRODUCTIVITY, PRODUCTIVITY GROWTH, QUOTAS, REAL GDP, REAL GROSS DOMESTIC PRODUCT, REAL WAGES, SCHOOLS, TECHNOLOGICAL CHANGE, TECHNOLOGY ADOPTION, TIME SERIES, TOTAL FACTOR PRODUCTIVITY, TRADE BARRIERS, TRADE LIBERALIZATION, TRADE UNIONS, UNEMPLOYMENT, UNEMPLOYMENT RATE, WAGE DIFFERENTIALS, WAGES, WEALTH, WORKERS SKILLS, SKILLED WORKERS, HUMAN CAPITAL INVESTMENTS, TECHNOLOGY,
Online Access:http://documents.worldbank.org/curated/en/2002/02/1711112/technology-skill-demand-mexico
https://hdl.handle.net/10986/15631
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:The author investigates the effects of technology on the employment and wages of differently skilled Mexican manufacturing workers using firm panel data from 1992-99. She analyzes the relationship between technology and skill demand. Findings support the skill-biased technical change hypothesis. She then examines the temporal relationship of technology adoption to firm productivity and worker wages. The author finds that skilled labor increases after technology adoption. And wages of both skilled and semi-skilled workers exhibit markedly increased growth rates compared with the growth rate of low-skilled workers. The results show that investment in human capital improves technology-driven productivity gains.