Technological Change and Wages: An Interindustry Analysis

Bartel, Ann P.; Sicherman, Nachum

doi:10.1086/250061

Cited by 161 publications

(136 citation statements)

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“…See [16] on this argument. 3 Among others, [19] find that the education premium in the US over the period 1979-1993 is the result of an increase in demand for innate ability or other unobserved characteristics of more educated workers. …”

Section: Interaction Process and Bellman Equationsmentioning

confidence: 99%

Endogenous Ranking in the Two-Sector Urn-Ball Matching Process

Rose¹

2018

TEL

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This paper contributes to the debate concerning micro-foundations of matching functions in frictional labor markets. The focus is on a particular matching regime, i.e., the so-called urn-ball process. It is shown that in a twosector economy, even in the presence of heterogeneous workers, the assumption of applicants-ranking may be misleading. Instead, the choice concerning the adoption of either ranking or no-ranking behavior is endogenous and it is affected by both the tightness of the two sectors and the composition of the labor force in terms of skills. Moreover it is proved that exogenous shocks may change the form of the matching function. This result casts additional doubts on the assumption of exogenous matching function often made in empirical works aimed at assessing the effectiveness of policy measures.

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Section: Interaction Process and Bellman Equationsmentioning

confidence: 99%

Endogenous Ranking in the Two-Sector Urn-Ball Matching Process

Rose¹

2018

TEL

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“…The mechanism behind the correlation, though, may be the reverse of the one that is typically used to motivate the sorting story. For example, Bartel and Sicherman (1999) argue that the positive correlation between technological change and wages is primarily due to the sorting of more able workers into industries with more rapid technological change. This argument fits neatly with the conjecture that a more able workforce is necessary for the adoption of new technology.…”

Section: Implications For Leading Theories Of Industry Wage Differmentioning

confidence: 99%

Market Responses to Interindustry Wage Differentials

Borjas

Ramey

2000

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“…Manasse and Turrini [12] supposed that entrepreneurs vary in their ability, so they hire homogeneous workers on a perfectly competitive labor market, but the workers work better for a better entrepreneur. Bartel, Lichtenberg, and Sicherman [13,14] assumed that there exist two technologies -old and more effective new, workers vary in their skills, and the more skilled workers have absolute advantages in both technologies and comparative advantages in the new one. It was shown that at the same time firms with both technologies can co-exist.…”

Section: Introductionmentioning

confidence: 99%

Model of monopolistic competition with heterogeneous labor

Филатов

Sokolovsky

2017

SHS Web Conf.

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Abstract. The paper presents a tool for modelling monopolistic competition markets, based on Dixit-Stiglitz ideology but taking into account heterogeneity at labor market. We analyse several modifications of a two-sector general equilibrium model. In the basic one with two levels of workers qualification their shares are determined endogenously on the base of comparison between the higher wage of the skilled worker and heterogeneous education costs, also taking into account the labor mobility between the manufacture and agriculture sector. The model is generalized for the case of continuous distribution of labor qualification. The impact of the model parameters (ratio of fixed and variable costs, market size, heterogeneity in productivity, elasticity of substitution, etc.) on the obtained equilibrium prices, quantities, wages, number and size of firms, social welfare is investigated.

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Technological Change and Wages: An Interindustry Analysis

Cited by 161 publications

References 0 publications

Endogenous Ranking in the Two-Sector Urn-Ball Matching Process

Endogenous Ranking in the Two-Sector Urn-Ball Matching Process

Market Responses to Interindustry Wage Differentials

Model of monopolistic competition with heterogeneous labor

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