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The labor content of exports database

Author

Listed:
  • Cali,Massimiliano
  • Francois,Joseph
  • Hollweg,Claire Honore
  • Manchin,Miriam
  • Oberdabernig,Doris Anita
  • Rojas Romagosa,Hugo Alexander
  • Rubinova,Stela
  • Tomberger,Patrick

Abstract

This paper develops a novel methodology to measure the quantity of jobs and value of wages embodied in exports for a large number of countries and sectors for intermittent years between 1995 and 2011. The resulting Labor Content of Exports database allows the examination of the direct contribution of labor to exports as well as the indirect contribution via other sectors of the economy for skilled and unskilled labor. The analysis of the new data sets documents several new findings. First, the global share of labor value added in exports has been declining globally since 1995, but it has increased in low-income countries. Second, in line with the standard Hecksher-Ohlin trade model, the composition of labor directly contained in exports is skewed toward skilled labor in high-income countries relative to developing countries. However, that is not the case for the indirect labor content of exports. Third, manufacturing exports are a key source of labor demand in other sectors, especially in middle- and low-income countries. And the majority of the indirect demand for labor spurred by exports is in services sectors, whose workers are the largest beneficiaries of exporting activities globally. Fourth, differences in the labor value added in exports share across developing countries appears to be driven more by differences in the composition of exports rather than in sector labor intensities. Finally, average wages typically increase rapidly enough with the process of economic development to more than compensate the loss in jobs per unit of exports. The paper also includes the necessary information to build the Labor Content of Exports database from the original raw data, including stata do-files and matlab files, as well as descriptions of the variables in the data set.

Suggested Citation

  • Cali,Massimiliano & Francois,Joseph & Hollweg,Claire Honore & Manchin,Miriam & Oberdabernig,Doris Anita & Rojas Romagosa,Hugo Alexander & Rubinova,Stela & Tomberger,Patrick, 2016. "The labor content of exports database," Policy Research Working Paper Series 7615, The World Bank.
    • Handle: RePEc:wbk:wbrwps:7615
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    References listed on IDEAS

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    Cited by:

    1. Dutta, Sourish, 2016. "A Review of Literature of Global Value Chains," MPRA Paper 106206, University Library of Munich, Germany.
    2. Dutta, Sourish, 2018. "Background and Literature Review of Global Value Chains," EconStor Preprints 235142, ZBW - Leibniz Information Centre for Economics.
    3. Dutta, Sourish, 2017. "Research Methods of Assessing Global Value Chains," MPRA Paper 106201, University Library of Munich, Germany.
    4. Dutta, Sourish, 2017. "Mechanics of Global Value chains: India’s Perspective," EconStor Preprints 235156, ZBW - Leibniz Information Centre for Economics.
    5. Sourish Dutta, 2020. "Learning and Upgrading in Global Value Chains: An Analysis of India’s Manufacturing Sector," Post-Print hal-03271575, HAL.
    6. World Bank Group, 2016. "Kazakhstan Jobs Strategy," World Bank Publications - Reports 27266, The World Bank Group.
    7. Massimiliano Calì & Claire Hollweg, 2015. "The Labor Content of Exports in South Africa and Botswana," World Bank Publications - Reports 23828, The World Bank Group.
    8. Richard Bräuer & Matthias Mertens & Viktor Slavtchev, 2023. "Import competition and firm productivity: Evidence from German manufacturing," The World Economy, Wiley Blackwell, vol. 46(8), pages 2285-2305, August.
    9. Thomas Farole, 2016. "Factory Southern Africa?," World Bank Publications - Reports 23787, The World Bank Group.
    10. Tomberger, Patrick, 2016. "Labour Income and Employment embodied in Internationally Fragmented Production Chains," Papers 1114, World Trade Institute.
    11. World Bank, 2016. "Malaysia Economic Monitor, June 2016," World Bank Publications - Reports 24692, The World Bank Group.
    12. Diao, Xinshen & Ellis, Mia & McMillan, Margaret S. & Rodrik, Dani, 2021. "Africa’s manufacturing puzzle: Evidence from Tanzanian and Ethiopian firms," IFPRI discussion papers 2020, International Food Policy Research Institute (IFPRI).
    13. C. Veeramani & Garima Dhir, 2019. "Reaping gains from global production sharing: Domestic value addition and job creation by Indian exports," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2019-024, Indira Gandhi Institute of Development Research, Mumbai, India.
    14. Farole, Thomas & Hollweg, Claire & Winkler, Deborah, 2018. "Trade in Global Value Chain: An Assessment of Labor Market Implication," Jobs Group Papers, Notes, and Guides 30318036, The World Bank.

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