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Contribution Details
| Type | Journal Article |
| Scope | Discipline-based scholarship |
| Title | The double role of skilled labor, new technologies and wage inequality |
| Organization Unit | |
| Authors |
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| Item Subtype | Original Work |
| Refereed | Yes |
| Status | Published in final form |
| Language |
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| Journal Title | Metroeconomica |
| Publisher | Wiley-Blackwell |
| Geographical Reach | international |
| ISSN | 0026-1386 |
| Volume | 56 |
| Number | 1 |
| Page Range | 37 - 57 |
| Date | 2005 |
| Abstract Text | We examine the relationship between the supply of skilled labor, technological change and relative wages. In accounting for the role of skilled labor in both production activities and productivity- enhancing "support" activities we derive the following results. First, an increase in the supply of skilled labor raises the employment share of non-production labor within firms, without lowering relative wages. Second, new technologies raise wage inequality only in so far as they give incentives to firms to reallocate skilled labor towards non-production activities. In contrast, skill-biased technological change of the sort usually considered in the literature does not affect wage inequality. |
| Digital Object Identifier | 10.1111/j.1467-999X.2005.00206.x |
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| Additional Information | The definitive version is available at www.blackwell-synergy.com |