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Effect of product obsolescence on wages: Role of international trade and skill levels

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  • Lahiri, Bidisha
  • Han, Luyi

Abstract

Trade competition generated R&D labor demand is strongest for medium life length products and is more relevant for skilled workers. Forward citation lag of patents captures product life lengths. The theoretically predicted non-monotonic relationship is observed in the empirical analysis.

Suggested Citation

  • Lahiri, Bidisha & Han, Luyi, 2020. "Effect of product obsolescence on wages: Role of international trade and skill levels," Economics Letters, Elsevier, vol. 186(C).
    • Handle: RePEc:eee:ecolet:v:186:y:2020:i:c:s016517651930429x
    DOI: 10.1016/j.econlet.2019.108851
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    References listed on IDEAS

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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Patent; Forward citation lag; Product cycle trade; R&D; Skill level; Labor demand;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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