Trade, Internal Migration, and Human Capital: Who Gains from India’s IT Boom?

doi:10.1596/1813-9450-9738

Publication:
Trade, Internal Migration, and Human Capital: Who Gains from India’s IT Boom?

dc.contributor.author	Ghose, Devaki
dc.date.accessioned	2021-07-29T12:46:42Z
dc.date.available	2021-07-29T12:46:42Z
dc.date.issued	2021-07
dc.description.abstract	How do trade shocks affect welfare and inequality when human capital is endogenous? Using an external IT demand shock and detailed internal migration data from India, this paper first document that both IT employment and engineering enrollment responded to the rise in IT exports. IT employment responded more in regions with a higher college-age population. The paper then develop a quantitative spatial equilibrium model featuring two new channels: higher education choice and differential costs of migrating for college and work. Using the framework, I quantify the aggregate and distributional effects of the IT boom and perform counterfactuals. Without endogenous education, the estimated aggregate welfare gain from the export shock would have been about a third, and regional inequality twice as large. Reducing barriers to mobility for education, such as introducing a national scholarship for students at higher education institutes, would substantially reduce inequality in the gains from the IT boom across districts.	en
dc.identifier	http://documents.worldbank.org/curated/en/565441627412473697/Trade-Internal-Migration-and-Human-Capital-Who-Gains-from-India-s-IT-Boom
dc.identifier.doi	10.1596/1813-9450-9738
dc.identifier.uri	https://hdl.handle.net/10986/36038
dc.language	English
dc.publisher	World Bank, Washington, DC
dc.relation.ispartofseries	Policy Research Working Paper;No. 9738
dc.rights	CC BY 3.0 IGO
dc.rights.holder	World Bank
dc.rights.uri	http://creativecommons.org/licenses/by/3.0/igo
dc.subject	TRADE
dc.subject	HUMAN CAPITAL
dc.subject	MIGRATION
dc.subject	LABOR MOBILITY
dc.subject	ACCESS TO EDUCATION
dc.subject	INEQUALITY
dc.subject	INFORMATION TECHNOLOGY
dc.subject	DIGITAL ECONOMY
dc.subject	LABOR SKILLS
dc.title	Trade, Internal Migration, and Human Capital	en
dc.title.subtitle	Who Gains from India’s IT Boom?	en
dc.type	Working Paper	en
dc.type	Document de travail	fr
dc.type	Documento de trabajo	es
dspace.entity.type	Publication
okr.crossref.title	Trade, Internal Migration, and Human Capital: Who Gains from India's IT Boom?
okr.date.disclosure	2021-07-27
okr.date.doiregistration	2025-04-10T11:08:36.281334Z
okr.doctype	Publications & Research
okr.doctype	Publications & Research::Policy Research Working Paper
okr.docurl	http://documents.worldbank.org/curated/en/565441627412473697/Trade-Internal-Migration-and-Human-Capital-Who-Gains-from-India-s-IT-Boom
okr.guid	565441627412473697
okr.identifier.doi	10.1596/1813-9450-9738
okr.identifier.externaldocumentum	090224b08883958b_1_0
okr.identifier.internaldocumentum	33298722
okr.identifier.report	WPS9738
okr.imported	true	en
okr.language.supported	en
okr.pdfurl	http://documents.worldbank.org/curated/en/565441627412473697/pdf/Trade-Internal-Migration-and-Human-Capital-Who-Gains-from-India-s-IT-Boom.pdf	en
okr.region.administrative	South Asia
okr.region.country	India
okr.topic	Education::Education and Digital Divide
okr.topic	Education::Education for the Knowledge Economy
okr.topic	Information and Communication Technologies::Information Technology
okr.topic	Social Protections and Labor::Labor Markets
okr.topic	Social Protections and Labor::Skills Development and Labor Force Training
okr.unit	Development Research Group, Development Economics
relation.isSeriesOfPublication	26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery	26e071dc-b0bf-409c-b982-df2970295c87