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Skills, exports, and the wages of five million Latin American workers

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Document
Content Type:
Skills, exports, and the wages of five million Latin American workers
Language:

English

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english
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skpEng
Sources:

Information is gathered from other international organizations that promote skills development and the transition from education and training to work. The Interagency Group on Technical and Vocational Education and Training (IAG-TVET) was established in 2009 to share research findings, coordinate joint research endeavours, and improve collaboration among organizations working at the international and national levels.

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skpIntOrg
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international-organizations
Topics:

Access to training

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Access for all to good quality education, vocational training and workplace learning is a fundamental principle of social cohesion and economic growth. Some groups of people may require targeted attention if they are to benefit from education, training and employment opportunities.  

This is particularly the case for disadvantaged youth, lower skilled workers, people with disabilities, and people in rural communities. The attractiveness of vocational education and training is enhanced when combined with entrepreneurship training and when public policies encourage utilization of higher skills by business. 
 

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skpATSU
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access-to-training

Training quality and relevance

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skpTrainQR
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training-quality-and-relevance
Knowledge Products:

Research papers

Working papers, reports, and other publications from international organizations, academic institutions and bilateral agencies. Research findings to stimulate informed debate on skills, employment and productivity issues. 

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skpRPS
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research-papers
Publication Date:
23 Mar 2016
The returns to schooling or the skill premium is a key parameter in various literatures, including globalization and inequality and international migration. This paper explores the skill premium and its link to exports in Latin America, thus linking the skill premium to the emerging literature on the structure of trade and development. Using data on employment and wages for over five million workers in sixteen Latin American economies, the authors estimate national and industry-specific skill premiums and study some of their determinants. The evidence suggests that both country and industry characteristics are important in explaining skill premiums. The analysis also suggests that the incidence of exports within industries, the average income per capita within countries, and the relative abundance of skilled workers are related to the underlying industry and country characteristics that explain skill premiums. In particular, higher sectoral exports are positively linked with the skill premium at the industry level, a result that supports recent trade models linking exports with wages and the demand for skills.
Subject Tags:

Economic growth

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economic-growth
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166

School-to-work transition

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school-to-work-transition
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652
Regions:

Americas

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