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American Economic Review: Vol. 102 No. 7 (December 2012)

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Exports, Export Destinations, and Skills

Article Citation

Brambilla, Irene, Daniel Lederman, and Guido Porto. 2012. "Exports, Export Destinations, and Skills." American Economic Review, 102(7): 3406-38.

DOI: 10.1257/aer.102.7.3406

Abstract

This paper explores the links between exports, export destinations, and skill utilization. We identify two mechanisms behind these links: differences across destinations in quality valuation and in exporting required services, activities that are intensive in skilled labor. Depending on the characteristics of the source country (income, language), the theories suggest a skill-bias in export destinations. We test the theory using a panel of Argentine manufacturing firms. We find that Argentine firms exporting to high-income countries hired more skilled workers than other exporters and domestic firms. Instead, we cannot identify any causal effect of exporting per se on skill utilization. (JEL F14, F16, J24, L60, O14, O19)

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Authors

Brambilla, Irene (National U La Plata)
Lederman, Daniel (World Bank)
Porto, Guido (National U La Plata)

JEL Classifications

F14: Empirical Studies of Trade
F16: Trade and Labor Market Interactions
J24: Human Capital; Skills; Occupational Choice; Labor Productivity
L60: Industry Studies: Manufacturing: General
O14: Industrialization; Manufacturing and Service Industries; Choice of Technology
O19: International Linkages to Development; Role of International Organizations


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