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Skill-biased Technological Change, E-skills and Wage Inequality: Evidence from Tunisia

Author

Listed:
  • Aissaoui, Najeh
  • Ben Hassen, Lobna

Abstract

Although there is a plethora of literature that supports the existence of a technological bias in the US and Europe, exploring such a subject in the developing countries is still relevant and very little processed. This article is part of the perspective that involves examining and bringing additional insight to the phenomenon of the technological change skewed in the Tunisian context. Estimating a multinomial logit model directed to 902 employees generated very original results. First, these results confirm the existence of a technological bias in favour of skilled workers in the Tunisian labour market. However, it is no longer the access or the intensive use of ICT at work that privileges some employees and not others, in terms of pay, but rather the employees’ digital skills which contribute to rising inequality. Even more, it is the ability to get, select, process and evaluate information based on the specific needs and capacity to use it to achieve specific objectives, and not the simple manipulation of digital technologies and structures, that are at the core of the problem. Finally, the organizational change also contributes to the amplification of the existing wage disparities. Actually, the more independent the employee is in carrying out his tasks and works per project, the higher the probability of earning a high salary vs low and medium salary. However, several other types of organizations do not have any significant positive effect on the wage rise. This reflects a weakness in the labour organization in the Tunisian firms.

Suggested Citation

  • Aissaoui, Najeh & Ben Hassen, Lobna, 2015. "Skill-biased Technological Change, E-skills and Wage Inequality: Evidence from Tunisia," MPRA Paper 76551, University Library of Munich, Germany, revised 29 Jun 2015.
  • Handle: RePEc:pra:mprapa:76551
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    File URL: https://mpra.ub.uni-muenchen.de/76551/9/MPRA_paper_76551.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    Skill-biased technological change (SBTC); wage inequality; organizational forms.;

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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