GTHE IMPACT OF TECHNOLOGICAL INNOVATION ON LABOR STRUCTURE: EVIDENCE FROM VIETNAM SMES

Dam Duc Le ()
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Dam Duc Le: Foreign Trade University

Bulletin of Monetary Economics and Banking, 2023, vol. 26, issue 2, 251-288

Abstract: To examine the technological innovation and labor structure nexus at micro level in Vietnam, this paper depends on a comprehensive dataset retrieved from the Vietnam SME Survey (VSMES) between 2005 and 2015. After accounting for endogeneity and firm heterogeneity, this study finds that technological innovation exhibits significantly positive impact on total labor of Vietnam’s SMEs. Moreover, technological innovation adoption is associated with higher rate of skilled labor while lowering the rate of unskilled labor in firms. The same results are discovered for manufacturing firms; however, the employment effect of technological innovation seems only significant in low-technology sectors with currency misalignment.

Keywords: Technological innovation; Labor structure; Skills composition; SMEs; Vietnam (search for similar items in EconPapers)
JEL-codes: C33 C36 M51 O31 O53 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:idn:journl:v:26:y:2023:i:2c:p:251-288

DOI: 10.59091/1410-8046.2067

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