trade in tasks

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Trade in Tasks Trade in Tasks Rainer Lanz, Sébastien Miroudot, Hildegunn Kyvik Nordås OECD TAD/TSD Working Party on International Trade in Goods and Trade in Services Statistics (8 November)

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Trade in Tasks. Rainer Lanz, Sébastien Miroudot, Hildegunn Kyvik Nordås OECD TAD/TSD. Working Party on International Trade in Goods and Trade in Services Statistics (8 November). Overview. Trade in tasks: another turn in the virtous cycle of expanding markets and deepening division of labour - PowerPoint PPT Presentation

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Page 1: Trade in Tasks

Trade in TasksTrade in Tasks

Rainer Lanz, Sébastien Miroudot, Hildegunn Kyvik NordåsOECD TAD/TSD

Working Party on International Trade in Goods and Trade in Services Statistics (8 November)

Page 2: Trade in Tasks

OECD Trade & Agriculture 2

OverviewOverview

•Trade in tasks: another turn in the virtous cycle of expanding markets and deepening division of labour

•Measuring trade in task – a difficult task

•The driving forces: Taylorism vs. Toyotaism?

•Empirical analysis

Page 3: Trade in Tasks

OECD Trade & Agriculture 3

Trade in tasks – deepening division of labour Trade in tasks – deepening division of labour

Page 4: Trade in Tasks

OECD Trade & Agriculture 4

How can trade in tasks be measured?How can trade in tasks be measured?

Alternative 1: outsourcing of jobs

1. Map tasks by occupation

2. Identify the occupations where tradable tasks are the most important

3. Calculate the share in total employment of these occupations

Alternative 2: tasks embodied in traded goods and services1. Map tasks by occupation

2. Map employment by occupation and sector

3. Yields task by sector

4. Map production by sector to goods and services produced

5. Yields traded tasks – does not distinguish embodied and disembodied tasks.

Page 5: Trade in Tasks

OECD Trade & Agriculture 5

Alternative 2: the task content of outputAlternative 2: the task content of output

Intensity of task h in sector s Content of task h in total output

x

TCTC

TCTC

TI

tjstj

stt

hjh

j

ths

1

111

1

111

ts

t1

thsth1

t1st11y

th

Y

Y

x

TITI

TITI

T

Page 6: Trade in Tasks

OECD Trade & Agriculture 6

Cluster analysisCluster analysis

Getting information and communicating

Identifying and monitoring

Information processing tasks

Thinking creatively

Working with others

Selling and controlling

Working with the public

Tasks related to machines

Tasks related to mechanical equipment

Physical tasks

0 .5 1 1.5L2 dissimilarity measure

• Getting information• Making decisions and solving problems• Updating and using relevant knowledge• Organizing and prioritizing work• Communicating with supervisors• Establishing and maintaining interpersonal relationships

Page 7: Trade in Tasks

OECD Trade & Agriculture 7

Task content of occupationsTask content of occupations0

.02

.04

.06

.08

111

112

121

122

12

32

11

212

213

21

42

21

222

223

224

225

226

311

31

2

313

314

321

32

23

24

325

326

411

412

413

414

41

5

416

417

41

84

21

42

2

423

424

42

5

426

431

432

433

Fast food cook

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8

111

112

121

122

12

32

11

212

213

21

42

21

222

223

224

225

226

311

31

2

313

314

321

32

23

24

325

326

411

412

413

414

41

5

416

417

41

84

21

42

2

423

424

42

5

426

431

432

433

Chef

Page 8: Trade in Tasks

OECD Trade & Agriculture 8

Task content of output by clusterTask content of output by cluster

Page 9: Trade in Tasks

OECD Trade & Agriculture 9

Partial correlations – output share of task clusters Partial correlations – output share of task clusters and imports of goods and servicesand imports of goods and services

Working with others

Information processing

tasks

Getting information and communicating

Import penetration goods

0.013 0.003 -0.011

Import penetration services

-0.034 0.119*** 0.083***

Page 10: Trade in Tasks

OECD Trade & Agriculture 10

Trade and the composition of tasksTrade and the composition of tasks

•Only small changes in the task content of output between 2000 and 2008

•Task contents of exports and output are similar

•Import penetration of services is complementary to the tasks ‘Information processing’ and ‘getting information and communicating’

•Limited impact of import penetration on the task allocation within industries– Import penetration in capital-intensive industries shift tasks directly

related to production to more information-based activities

Page 11: Trade in Tasks

OECD Trade & Agriculture 11

Some reflections Some reflections

•Fragmentation of production is not the same as fragmentation of jobs

– Functions that are outsourced or offshored become new industries manned by multitask workers in a broad range of occupations and skill levels

•Insights from the transaction cost based theory of the firm: The boundary of the firm is defined by balancing transaction costs, coordination costs and incentives.

•Taylorism versus toyotism?

Page 12: Trade in Tasks

OECD Trade & Agriculture 12

CaveatsCaveats

•Variation in our data is due to changes in employment by occupation.

– Time series of task by occupation would ideally be needed

•Task content by occupation is assumed to be the same across countries – reasonable?

•More detailed analysis needed (services trade by services category and source, firm-level data by task)