Technological Changes Offshoring And The Labor Share

DOWNLOAD

Download Technological Changes Offshoring And The Labor Share PDF/ePub or read online books in Mobi eBooks. Click Download or Read Online button to get Technological Changes Offshoring And The Labor Share book now. This website allows unlimited access to, at the time of writing, more than 1.5 million titles, including hundreds of thousands of titles in various foreign languages. If the content not found or just blank you must refresh this page

Technological Changes Offshoring And The Labor Share

DOWNLOAD
Author : Weicheng Lian
language : en
Publisher: International Monetary Fund
Release Date : 2019-07-02

Technological Changes Offshoring And The Labor Share written by Weicheng Lian and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2019-07-02 with Business & Economics categories.

Existing studies on the downward trend in the labor share of income mostly focus on changes within individual countries. I document, however, that half of the global decline in the labor share of income can be traced to the relocation of activities between countries. I develop a two-country model to show that when the relative price of investment goods falls, production activities with a small elasticity of substitution between capital and labor tend to get offshored from high- to low-wage countries. The model provides an explanation as to why such relocation may drive the labor share down in both developed and developing economies, as well as globally.

Essays On Labor Share

DOWNLOAD
Author : Il Hyun Cho
language : en
Publisher:
Release Date : 2017

Essays On Labor Share written by Il Hyun Cho and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017 with categories.

In this dissertation, I present three essays on labor share. The first chapter studies the effect of offshoring on the relative share of income going to labor and capital. It introduces offshoring in a model of heterogeneous firms with two intermediate inputs. The intermediate inputs are produced with a CES technology using two factors of production: labor and capital. Given the direction of labor-saving technical change, offshoring decreases the relative demand for labor, which thereby decreases labor share. Empirical studies of the World Input-Output Database (WIOD) show that in manufacturing industries in developed countries, the share of imported intermediate inputs, especially those that originate in developing countries, negatively affects labor share. The second chapter studies the effect of trade liberalization on labor share. It introduces technology upgrading in a model of trade in which heterogeneous firms use two inputs: labor and capital. The model allows for non-neutral technology upgrading and it uses a CES production function. The joint treatment of technology upgrading and export choices shows that trade liberalization can induce efficient firms to upgrade their technology. Given the direction of labor-saving technology upgrading, trade liberalization increases the relative demand for capital and decreases labor share. This model also explains why exporting firms are more capital intensive. The third chapter studies the effect of ICT use on the labor share in South Korean firms employing Workplace Panel Survey (WPS). The results robustly show that increasing ICT use decreases labor share in both manufacturing firms and non-manufacturing firms. It also finds that the decreasing the bargaining position of labor negatively affects labor share.

Technological Change Distributive Bias And Labor Transfer In A Two Sector Economy

DOWNLOAD
Author : Uma J. Lele
language : en
Publisher:
Release Date : 1977

Technological Change Distributive Bias And Labor Transfer In A Two Sector Economy written by Uma J. Lele and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 1977 with Agriculture categories.

Employment Effects Of Offshoring Technological Change And Migration In A Group Of Western European Economies

DOWNLOAD
Author : Michael Landesmann
language : en
Publisher:
Release Date : 2023

Employment Effects Of Offshoring Technological Change And Migration In A Group Of Western European Economies written by Michael Landesmann and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2023 with categories.

This paper estimates conditional demand models to examine the impact of offshoring, technological change, and migration on the labour demand of native workers differentiated by four different types of occupational groups: managers/professionals, clerical workers, craft (skilled) workers and manual workers. The analysis is conducted for an unbalanced panel of five economies Austria, Belgium, France, Spain, and Switzerland covering the period 2005-2018. Our results point to important and occupationspecific effects: offshoring seems to have beneficial employment effects for native craft workers in this set of economies, while negative effects for native manual workers across a wide set of industries (including manufacturing and services industries) and managers/professionals in manufacturing. Furthermore, there are important distinctions whether offshoring occurs in other advanced economies, in the EU13 or in developing countries. The analysis of the impact of technological change shows the strong positive impact which the additional IT equipment has on most occupational groups of native workers (with the exception of manual workers), while robotisation in manufacturing showed strongly negative impacts on the employment of all groups of workers and especially of craft workers. Increasing immigrant shares in the work forces showed strongly negative impacts on native workers - however, considering only the partial substitution effects and not including the potential for productivity and demand effects - and this is mostly accounted for by immigration from low- to medium-income source countries.

What Explains The Decline Of The U S Labor Share Of Income An Analysis Of State And Industry Level Data

DOWNLOAD
Author : Mr.Yasser Abdih
language : en
Publisher: International Monetary Fund
Release Date : 2017-07-25

What Explains The Decline Of The U S Labor Share Of Income An Analysis Of State And Industry Level Data written by Mr.Yasser Abdih and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017-07-25 with Business & Economics categories.

The U.S. labor share of income has been on a secular downward trajectory since the beginning of the new millennium. Using data that are disaggregated across both state and industry, we show the decline in the labor share is broad-based but the extent of the fall varies greatly. Exploiting a new data set on the task characteristics of occupations, the U.S. input-output tables, and the Current Population Survey, we find that in addition to changes in labor institutions, technological change and different forms of trade integration lowered the labor share. In particular, the fall was largest, on average, in industries that saw: a high initial intensity of “routinizable” occupations; steep declines in unionization; a high level of competition from imports; and a high intensity of foreign input usage. Quantitatively, we find that the bulk of the effect comes from changes in technology that are linked to the automation of routine tasks, followed by trade globalization.

The Exposure To Routinization Labor Market Implications For Developed And Developing Economies

DOWNLOAD
Author : Ms.Mitali Das
language : en
Publisher: International Monetary Fund
Release Date : 2018-06-13

The Exposure To Routinization Labor Market Implications For Developed And Developing Economies written by Ms.Mitali Das and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2018-06-13 with Business & Economics categories.

Evidence that the automation of routine tasks has contributed to the polarization of labor markets has been documented for many developed economies, but little is known about its incidence in developing economies. We propose a measure of the exposure to routinization—that is, the risk of the displacement of labor by information technology—and assemble several facts that link the exposure to routinization with the prospects of polarization. Drawing on exposures for about 85 countries since 1990, we establish that: (1) developing economies are significantly less exposed to routinization than their developed counterparts; (2) the initial exposure to routinization is a strong predictor of the long-run exposure; and (3) among countries with high initial exposures to routinization, polarization dynamics have been strong and subsequent exposures have fallen; while among those with low initial exposure, the globalization of trade and structural transformation have prevailed and routine exposures have risen. Although we find little evidence of polarization in developing countries thus far, with rapidly rising exposures to routinization, the risks of future labor market polarization have escalated with potentially significant consequences for productivity, growth and distribution.

Technology And The Future Of Work

DOWNLOAD
Author : Adrian Peralta-Alva
language : en
Publisher: International Monetary Fund
Release Date : 2018-10-01

Technology And The Future Of Work written by Adrian Peralta-Alva and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2018-10-01 with Business & Economics categories.

This paper uses a DSGE model to simulate the impact of technological change on labor markets and income distribution. It finds that technological advances offers prospects for stronger productivity and growth, but brings risks of increased income polarization. This calls for inclusive policies tailored to country-specific circumstances and preferences, such as investment in human capital to facilitate retooling of low-skilled workers so that they can partake in the gains of technological change, and redistributive policies (such as differentiated income tax cuts) to help reallocate gains. Policies are also needed to facilitate the process of adjustment.

Service Offshoring Productivity And Employment

DOWNLOAD
Author : Mary Amiti
language : en
Publisher: INTERNATIONAL MONETARY FUND
Release Date : 2005-12-01

Service Offshoring Productivity And Employment written by Mary Amiti and has been published by INTERNATIONAL MONETARY FUND this book supported file pdf, txt, epub, kindle and other format this book has been release on 2005-12-01 with Business & Economics categories.

This paper estimates the effects of offshoring on productivity in U.S. manufacturing industries between 1992 and 2000, using instrumental variables estimation to address the potential endogeneity of offshoring. It finds that service offshoring has a significant positive effect on productivity in the US, accounting for around 11 percent of productivity growth during this period. Offshoring material inputs also has a positive effect on productivity, but the magnitude is smaller accounting for approximately 5 percent of productivity growth. There is a small negative effect of less than half a percent on employment when industries are finely disaggregated (450 manufacturing industries). However, this affect disappears at more aggregate industry level of 96 industries indicating that there is sufficient growth in demand in other industries within these broadly defined classifications to offset any negative effects.

The Factory Free Economy

DOWNLOAD
Author : Lionel Fontagné
language : en
Publisher: Oxford University Press
Release Date : 2017

The Factory Free Economy written by Lionel Fontagné and has been published by Oxford University Press this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017 with Business & Economics categories.

An economic analysis of de-industrialization that considers the ongoing transformation of the industrial economies and the consequences for economic policy.

Why Is Labor Receiving A Smaller Share Of Global Income Theory And Empirical Evidence

DOWNLOAD
Author : Mai Chi Dao
language : en
Publisher: International Monetary Fund
Release Date : 2017-07-24

Why Is Labor Receiving A Smaller Share Of Global Income Theory And Empirical Evidence written by Mai Chi Dao and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017-07-24 with Business & Economics categories.

This paper documents the downward trend in the labor share of global income since the early 1990s, as well as its heterogeneous evolution across countries, industries and worker skill groups, using a newly assembled dataset, and analyzes the drivers behind it. Technological progress, along with varying exposure to routine occupations, explains about half the overall decline in advanced economies, with a larger negative impact on middle-skilled workers. In emerging markets, the labor share evolution is explained predominantly by global integration, particularly the expansion of global value chains that contributed to raising the overall capital intensity in production.