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Does unmeasured ability explain the wage premium associated with technological change?: Quantile regression analysis

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  • Kang-Shik Choi
  • Jinook Jeong

Abstract

By using the quantile regressions of earnings equation, we find that the educational wage premium is higher in industries with rapid technological change than in industries with slower technological change at every decile in the distribution of wage residuals. The wage premium associated with the technological change is mostly explained by the returns to workers' unobserved heterogeneities, which are correlated with education, rather than the rents of high-tech industries.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 39 (2007)
Issue (Month): 9 ()
Pages: 1163-1171

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Handle: RePEc:taf:applec:v:39:y:2007:i:9:p:1163-1171

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Cited by:
  1. Eric Bartelsman & Sabien Dobbelaere & Bettina Peters, 2013. "Allocation of Human Capital and Innovation at the Frontier: Firm-level Evidence on Germany and the Netherlands," Tinbergen Institute Discussion Papers 13-095/VII, Tinbergen Institute.
  2. Fu, Dahai & Wu, Yanrui, 2013. "Export wage premium in China's manufacturing sector: A firm level analysis," China Economic Review, Elsevier, vol. 26(C), pages 182-196.
  3. Ming-Chi Chen & Chi-Lu Peng & So-De Shyu & Jhih-Hong Zeng, 2012. "Market States and the Effect on Equity REIT Returns due to Changes in Monetary Policy Stance," The Journal of Real Estate Finance and Economics, Springer, vol. 45(2), pages 364-382, August.
  4. Fu, Dahai & Wu, Yanrui, 2011. "Exporting wage premium in the exporting sector: evidence from manufacturing firms in China," MPRA Paper 32721, University Library of Munich, Germany.

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