Entrepreneurial Skills Training for Online Freelancing: Experimental Evidence from El Salvador

Last registered on November 01, 2023
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Pre-Trial

Trial Information

General Information

Title
Entrepreneurial Skills Training for Online Freelancing: Experimental Evidence from El Salvador
RCT ID
AEARCTR-0012345
Initial registration date
October 25, 2023

Initial registration date is when the trial was registered.

It corresponds to when the registration was submitted to the Registry to be reviewed for publication.

First published
November 01, 2023, 3:48 PM EDT

First published corresponds to when the trial was first made public on the Registry after being reviewed.

Locations

Country
El Salvador
Region
Latin America and the Caribbean

Primary Investigator

Name
Richard Freund
Affiliation
University of Cape Town
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Other Primary Investigator(s)

PI Name
Rafael Novella
PI Affiliation
University College London
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PI Name
Maria Victoria Fazio
PI Affiliation
Inter American Development Bank
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Additional Trial Information

Status
On going
Start date
2022-03-28
End date
2023-12-31
Keywords
Labor
Additional Keywords
online labor markets; entrepreneurship; training
JEL code(s)
J24; J28; L26
Secondary IDs
Prior work
This trial does not extend or rely on any prior RCTs.
Abstract
Digital platforms are reshaping the labor market, offering access to global markets and new income-generating opportunities. Online freelancing, where clients contract jobs to remote workers, presents a powerful mechanism for development, bringing jobs to people all around the world (Lehdonvirta et al., 2019). Yet, most registered individuals never manage to successfully obtain work online, particularly in low- and middle-income countries (LMICs) (Hilbert and Lu, 2020). In devising policies to enhance online workers’ outcomes, a key question is whether poor results come from technical deficiencies or barriers to entry. If the former holds true, workers might require technical training. However, if the latter is the case, facilitating worker engagement with online marketplaces could be sufficient. To test this, we carry out a randomized controlled experiment in El Salvador in which the treatment group received training on the entrepreneurial skills required to engage with online marketplaces (e.g., creating a profile, preparing proposals, and interacting with clients).

External Link(s)

Registration Citation

Citation
Freund, Richard, Rafael Novella and Maria Victoria Fazio. 2023. "Entrepreneurial Skills Training for Online Freelancing: Experimental Evidence from El Salvador." AEA RCT Registry. November 01. https://doi.org/10.1257/rct.12345-1.0
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Experimental Details

Interventions

Intervention(s)
In this intervention, randomly selected applicants were offered an online freelancing entrepreneurship training program. The program aimed to equip online freelancers with the entrepreneurial skills required to engage with online marketplaces (e.g., creating a profile, preparing proposals, and interacting with clients).
Intervention Start Date
2022-05-02
Intervention End Date
2022-06-22

Primary Outcomes

Primary Outcomes (end points)
We are primarily interested in assessing the effects on labor market outcomes. This includes both online freelancing outcomes as well as broader labor market outcomes.

Online freelancing outcomes include: having an online freelancer profile, number of proposals sent, number of times contacted by customers, number of job offers, number of employment contracts signed, price per hour, hours working as a freelancer, percentage of income from freelancing, probability of freelancing in 12 months, and english proficiency.

Broader labor market outcomes include: current employment status, number of jobs, contracted employment, type of main job, formal employment, part-time work, monthly income, length of employment.
Primary Outcomes (explanation)

Secondary Outcomes

Secondary Outcomes (end points)
As secondary outcomes, we are interested in the effects on education, psychosocial skills, entrepreneurial spirit, and satisfaction. For education, we are interested in whether individuals are currently studying, what they are studying, and the format of studying. For psychosocial skills, we are interested in self-esteem and self-efficacy.
Secondary Outcomes (explanation)
Self-esteem is measured using the Rosenberg self-esteem scale (Rosenberg, 1965). Self-efficacy is measured using the Schwarzer and Jerusalem (1995) scale. Satisfaction and entrepreneurial indices are to be constructed as in Anderson (2008).

Experimental Design

Experimental Design
The design followed an oversubscription model, whereby the program sought to attract a pool of eligible applicants that was at least twice the capacity the vacancies reserved for evaluation. From this, eligible applicants were randomly assigned to receive training or not.
Experimental Design Details
Randomization Method
Randomization done in office by a computer
Randomization Unit
Individual
Was the treatment clustered?
No

Experiment Characteristics

Sample size: planned number of clusters
711 individuals
Sample size: planned number of observations
711 individuals
Sample size (or number of clusters) by treatment arms
344 individuals control, 350 individuals treatment, and 17 individuals on a waiting list.
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
Supporting Documents and Materials
IRB

Institutional Review Boards (IRBs)

IRB Name
Human Subjects Committee for Innovations for Poverty Action IRB-USA
IRB Approval Date
2023-07-26
IRB Approval Number
16625
Analysis Plan

Post-Trial

Post Trial Information

Study Withdrawal

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Intervention

Is the intervention completed?
No
Data Collection Complete
Data Publication

Data Publication

Is public data available?
No

Program Files

Program Files
Reports, Papers & Other Materials

Relevant Paper(s)

Reports & Other Materials