Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/174962 
Year of Publication: 
2017
Series/Report no.: 
CESifo Working Paper No. 6839
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
This paper analyzes the impact of internet adoption on labor productivity in Peruvian micro and small manufacturing firms over the period 2011-2013. Instrumental variables estimates show that internet adoption: (i) increases firms’ labor productivity; (ii) reallocates employment away from temporary administrative workers and non-remunerated workers and expands employment of permanent production workers; (iii) leads to the formalization of labor relationships, to the implementation of new organizational practices, and to the improvement of training measures. These findings point to the implementation of combined policies, where ICT expansion is accompanied by the development of digital skills.
Subjects: 
internet adoption
labor productivity
micro and small firms
employment structure
organizational practices
JEL: 
J23
J24
O32
O33
Document Type: 
Working Paper
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