EconPapers    
Economics at your fingertips  
 

The impact of wind power on the Brazilian labor market

S. Gonçalves, T.P. Rodrigues and André Chagas ()

Renewable and Sustainable Energy Reviews, 2020, vol. 128, issue C

Abstract: Wind power is an important source of renewable energy. Beyond the environmental dimension, the wind energy may contribute to the local development. Due to its weather conditions, Brazil emerges as one of the leading countries in the generation of wind power. This study estimates the impact of wind farms on the Brazilian labor market, through the exploration of the staggered nature of the sequential process of wind farm implantation between 2004 and 2016. We estimate the treatment effect parameters using a Difference–in–Differences (DiD) approach with: i multiple time periods, ii variation in treatment timing, and iii dynamic treatment effects, through an event study design. We aggregate information from several data sources into a panel and we analyze the impact on employment and wages, by considering economic sectors, educational levels, firm sizes, and types of jobs – direct or indirect jobs. Our findings suggest that wind farms increase employment in the industry, agriculture and construction, and increase the wages in all economic sectors, and we find evidence that this effect occurs on indirect jobs. Additionally, we find positive effects on the employment and wages of less–educated workers, and of small and medium–sized firms. The impact of this intervention can last for up to two years after the implementation of wind farms in the municipalities. Our results suggest that wind power may generate significant social impacts through the labor market, by contributing to local development and increasing social welfare in developing economies.

Keywords: Wind power; Staggered difference-in-differences; Event study; Employment; Wages; Labor market (search for similar items in EconPapers)
JEL-codes: Q42 C23 R58 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1364032120301805
Full text for ScienceDirect subscribers only

Related works:
Working Paper: The impact of wind power on the Brazilian labor market (2019) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:rensus:v:128:y:2020:i:c:s1364032120301805

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/600126/bibliographic
http://www.elsevier. ... 600126/bibliographic

DOI: 10.1016/j.rser.2020.109887

Access Statistics for this article

Renewable and Sustainable Energy Reviews is currently edited by L. Kazmerski

More articles in Renewable and Sustainable Energy Reviews from Elsevier
Bibliographic data for series maintained by Haili He ().

 
Page updated 2021-01-03
Handle: RePEc:eee:rensus:v:128:y:2020:i:c:s1364032120301805