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Who on Earth Can Work from Home?
[Secular Stagnation? The Effect of Aging on Economic Growth in the Age of Automation]

Author

Listed:
  • Daniel Garrote Sanchez
  • Nicolas Gomez Parra
  • Caglar Ozden
  • Bob Rijkers
  • Mariana Viollaz
  • Hernan Winkler

Abstract

This paper reviews the emerging literature on which jobs can be performed from home and presents new estimates of the prevalence of such jobs based on the task content of occupations, their technology requirements and the availability of internet access by country and income groupings. Globally, one of every five jobs can be performed from home. In low-income countries, this ratio drops to one of every 26 jobs. Failing to account for internet access yields upward biased estimates of the resilience of poor countries, lagging regions, and poor workers. Since better paid workers are more likely to be able to work from home, COVID-19 is likely to exacerbate inequality, especially in richer countries where better paid and educated workers are insulated from the shock. The overall labor market burden of COVID-19 is bound to be larger in poor countries, where only a small share of workers can work from home and social protection systems are weaker. Across the globe, young, poorly educated workers and those on temporary contracts are least likely to be able to work from home and more vulnerable to the labor market shocks from COVID-19.

Suggested Citation

  • Daniel Garrote Sanchez & Nicolas Gomez Parra & Caglar Ozden & Bob Rijkers & Mariana Viollaz & Hernan Winkler, 2021. "Who on Earth Can Work from Home? [Secular Stagnation? The Effect of Aging on Economic Growth in the Age of Automation]," The World Bank Research Observer, World Bank, vol. 36(1), pages 67-100.
    • Handle: RePEc:oup:wbrobs:v:36:y:2021:i:1:p:67-100.
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