Exporting firms and wage premia in developing counties

Brambilla, Irene (Universidad Nacional de La Plata, Departamento de Economia, La Plata, Argentina) ; Depetris Chauvin, Nicolas (Haute école de gestion de Genève, HES-SO // Haute Ecole Spécialisée de Suisse Occidentale) ; Olarreaga, Marcelo (Depatment of Economics, University of Geneva) ; Porto, Guido (Universidad Nacional de La Plata, Departamento de Economia, La Plata, Argentina)

There are arguably potential wage gains from exports in developing countries. Export markets bring about opportunities for firms and successful exporting firms translate some of the benefits of exports to workers via employment and wage premia. Using comparable data for 61 developing and low-income countries, we document the prevalence of the export wage premia worldwide. With an extensive literature review, we identify four major drivers of the wage premia: exporting firms hire more skilled workers, utilize more sophisticated machines, buy higher quality material inputs, and are more productive than non-exporting firms. Our empirical analysis confirms the worldwide prevalence of these mechanisms and, furthermore, establishes a strong link to the estimated wage premia.


Conference Type:
full paper
Faculty:
Economie et Services
School:
HEG - Genève
Institute:
CRAG - Centre de Recherche Appliquée en Gestion
Subject(s):
Economie/gestion
Publisher:
Bordeaux, France, 16-17 June
Date:
Bordeaux, France
16-17 June
2016
Pagination:
43 p.
Published in:
Proceedings of the 6th GREThA International Conference on economic development
Appears in Collection:



 Record created 2017-06-19, last modified 2019-08-19

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