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Technological Bias and Unemployment: A Macroeconomic Perspective

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Author Info
Sneessens, Henri R. (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) ; FacultŽ Libre de Sciences Economiques, Lille)

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Abstract

This paper focuses on the macroeconomic impact of introducing new technologies (among which information technologies) when the latter stimulate the relative demand for high-skilled labour. The fact that there is biased technical progress (or at least, that growth has asymmetric effects) is little disputed. Evaluating its effect on unemployment still remains a difficult task. This paper stresses the need to rely on a genuine structural analysis. To clarify some of these issues, we develop a simple analytical framework with two types of labour (high- and low-skilled). This framework is used to distinguish macroeconomic vs structural shocks, and to illustrate the interactions between macroeconomic and structural phenomena as well as their implications for the interpretation of simple mismatch indicators. The framework is next used as a reference setup wherein to evaluate and compare the empirical modelling approaches used by different authors and the results they obtain.

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Publisher Info
Paper provided by Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES) in its series Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) with number 1999024.

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Length: 27
Date of creation: 01 Jun 1998
Date of revision: 00 Aug 1999
Handle: RePEc:ctl:louvir:1999024

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Related research
Keywords: Mismatch; equilibrium unemployment; NAIRU; skill bias;

Find related papers by JEL classification:
E24 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
J60 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - General

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Pierre-Richard Agénor & Joshua Aizenman, 1994. "Technological Change, Relative Wages, and Unemployment," IMF Working Papers 94/111, International Monetary Fund.
    Other versions:
  2. Stephen Machin & A Ryan & John Van Reenen, 1996. "Technology and Changes in Skill Structure: Evidence from an International Panel of Industries," CEP Discussion Papers dp0297, Centre for Economic Performance, LSE.
  3. John M. Abowd & Francis Kramarz & Thomas Lemieux & David N. Margolis, 1997. "Minimum Wages and Youth Employment in France and the United States," NBER Working Papers 6111, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  4. David Card & Francis Kramarz & Thomas Lemieux, 1996. "Changes in the Relative Structure of Wages and Employment: A Comparison of the United States, Canada, and France," NBER Working Papers 5487, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  5. Machin, Steve & Van Reenen, John, 1996. "Technology and Changes in Skill Structure: Evidence from an International Panel of Industries," CEPR Discussion Papers 1434, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  6. Shadman-Mehta, Fatemeh & Sneessens, Henri R., 1995. "Skill Demand and Factor Substitution," CEPR Discussion Papers 1279, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  7. Dreze, Jacques H., 1997. "Walras--Keynes equilibria coordination and macroeconomics," European Economic Review, Elsevier, vol. 41(9), pages 1735-1762, December. [Downloadable!] (restricted)
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Cited by:
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  1. Henri SNEESSENS & Fatemeh SHADMAN-MEHTA, 2000. "Chocs asymŽtriques et persistance du ch™mage : Wallonie et Flandre comparŽes," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2001024, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES). [Downloadable!]
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