The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation

Foreign direct investment (FDI) can provide important opportunities for middle-class jobs by stimulating employment growth, paying wage premiums, and helping to shift workers out of less productive sectors. This analysis exploits regional variations in sales to examine the effect that multinational...

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1. Verfasser: Steenbergen, Victor (VerfasserIn)
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Sprache:English
Veröffentlicht: Washington, D.C The World Bank 2020
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520 3 |a Foreign direct investment (FDI) can provide important opportunities for middle-class jobs by stimulating employment growth, paying wage premiums, and helping to shift workers out of less productive sectors. This analysis exploits regional variations in sales to examine the effect that multinational corporations (MNCs) in the manufacturing sector have on employment and wages in Indonesia between 2007 and 2015. Using interaction effects, it explores how these effects differ by workers' education level, occupation, and employment status. The study finds that manufacturing MNCs raise average wages in their sector. Yet, higher-educated workers benefit more, and white-collar workers see greater benefits than blue-collar workers. Women also appear to benefit more than men, as a result of the type of labor-intensive sectors MNCs engage inches The study finds evidence that manufacturing FDI can help to accelerate structural transformation, as workers move out of lower-productivity sectors (agriculture and low-skilled services) and into higher-productivity manufacturing 
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spelling Steenbergen, Victor Verfasser aut
The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation Victor Steenbergen
Washington, D.C The World Bank 2020
1 Online-Ressource
txt rdacontent
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Other papers
Foreign direct investment (FDI) can provide important opportunities for middle-class jobs by stimulating employment growth, paying wage premiums, and helping to shift workers out of less productive sectors. This analysis exploits regional variations in sales to examine the effect that multinational corporations (MNCs) in the manufacturing sector have on employment and wages in Indonesia between 2007 and 2015. Using interaction effects, it explores how these effects differ by workers' education level, occupation, and employment status. The study finds that manufacturing MNCs raise average wages in their sector. Yet, higher-educated workers benefit more, and white-collar workers see greater benefits than blue-collar workers. Women also appear to benefit more than men, as a result of the type of labor-intensive sectors MNCs engage inches The study finds evidence that manufacturing FDI can help to accelerate structural transformation, as workers move out of lower-productivity sectors (agriculture and low-skilled services) and into higher-productivity manufacturing
Employment
Employment and Unemployment
Foreign Direct Investment
Labor Market
Social Protections and Labor
Hebous, Sarah Sonstige oth
Pradana, Abror Tegar Sonstige oth
Wihardja, Maria Monica Sonstige oth
http://elibrary.worldbank.org/doi/book/10.1596/36188 Verlag URL des Erstveröffentlichers Volltext
spellingShingle Steenbergen, Victor
The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation
Employment
Employment and Unemployment
Foreign Direct Investment
Labor Market
Social Protections and Labor
title The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation
title_auth The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation
title_exact_search The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation
title_exact_search_txtP ˜Theœ Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation
title_full The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation Victor Steenbergen
title_fullStr The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation Victor Steenbergen
title_full_unstemmed The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation Victor Steenbergen
title_short The Effect of FDI on Indonesia's Jobs, Wages, and Structural Transformation
title_sort the effect of fdi on indonesia s jobs wages and structural transformation
topic Employment
Employment and Unemployment
Foreign Direct Investment
Labor Market
Social Protections and Labor
topic_facet Employment
Employment and Unemployment
Foreign Direct Investment
Labor Market
Social Protections and Labor
url http://elibrary.worldbank.org/doi/book/10.1596/36188
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