Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/248989 
Year of Publication: 
2021
Series/Report no.: 
CESifo Working Paper No. 9444
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
This paper analyses the evidence of job polarization in developing countries. We carry out an extensive review of the existing empirical literature and examine the primary data sources and measures of routine intensity. The synthesis of results suggests that job polarization in emerging economies is only incipient compared to other advanced economies. We then examine the possible moderating aspects preventing job polarization, discussing the main theoretical channels and the existing empirical literature. Overall, the literature relates the lack of polarization as a natural consequence of limited technology adoption and the offshoring of routine, middle-earning jobs to some host developing economies. In turn, the limited technology adoption results from suboptimal capabilities in those economies, including the insufficient supply of educated workers. Finally, we present the main gaps in the literature in developing economies and point to the need for more micro-level studies focusing on the impacts of technology adoption on workers’ careers and studies exploring the adoption and use of technologies at the firm level.
Subjects: 
job polarization
routine intensity
skills
developing countries
JEL: 
J24
J63
O33
E24
Document Type: 
Working Paper
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