The multi-dimensional nature of labor demand and skill-biased technical change

Arbeitspapier

Investigating the robustness of the skill-biased technical change hypothesis, this analysis incorporates two novel features. First, effective labor is modeled as the product of a quantity measure - number of employees with a given level of education - and a quality index, depending on, i.a., demographic characteristics and fields-of-study. Second, low-skilled labor is more disaggregated than in earlier studies. A fully specified structural model is used, containing demand equations for four categories of labor, two types of capital and intermediate goods. The empirical application covers 24 industries in the Swedish manufacturing sector 1985-1995. The skill-bias is further corroborated: it is confirmed although the specification of effective labor is supported. Substantial differences are, however, found among the low-skilled.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Working Paper ; No. 1999:9

Classification and Topics

• Classification: Wirtschaft ; Firm Behavior: Theory ; Labor Demand ; Wage Level and Structure; Wage Differentials ; Industry Studies: Manufacturing: General ; Technological Change: Choices and Consequences; Diffusion Processes
• Subject: Robustness test ; Labor quality ; Heterogenous low-skilled ; Manufacturing application

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Mellander, Erik
• Event: Veröffentlichung
• (who): Institute for Labour Market Policy Evaluation (IFAU)
• (where): Uppsala
• (when): 1999

Further information

• Handle: http://hdl.handle.net/10419/82150
• Last update: 10.03.2025, 11:41 AM CET