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Technological Bias and Unemployment: A Macroeconomic Perspective

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  • Sneessens, Henri R.

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES) ; Faculté Libre de Sciences Economiques, Lille)

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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Bibliographic 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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Keywords: Mismatch; equilibrium unemployment; NAIRU; skill bias;

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References

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  1. 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.
  2. Machin, Steve & Van Reenen, John, 1996. "Technology and Changes in Skill Structure: Evidence from an International Panel of Industries," CEPR Discussion Papers, C.E.P.R. Discussion Papers 1434, C.E.P.R. Discussion Papers.
  3. Joshua Aizenman & Pierre-Richard Agénor, 1994. "Technological Change, Relative Wages, and Unemployment," IMF Working Papers 94/111, International Monetary Fund.
  4. Marco Manacorda & Barbara Petrongolo, 1996. "Skill Mismatch and Unemployment in OECD Countries," CEP Discussion Papers dp0307, Centre for Economic Performance, LSE.
  5. DREZE, Jacques H., 1997. "Walras-Keynes equilibria coordination and macroeconomics," CORE Discussion Papers, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) 1997051, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  6. Henri Sneessens, 1994. "Croissance, qualifications et chômage," Revue Française d'Économie, Programme National Persée, Programme National Persée, vol. 9(4), pages 1-33.
  7. 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.
  8. repec:fth:inseep:9652 is not listed on IDEAS
  9. Shadman-Mehta, Fatemeh & Sneessens, Henri R., 1995. "Skill Demand and Factor Substitution," CEPR Discussion Papers, C.E.P.R. Discussion Papers 1279, C.E.P.R. Discussion Papers.
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Cited by:
  1. Henri SNEESSENS & Fatemeh SHADMAN-MEHTA, 2000. "Chocs asymétriques et persistance du chômage : Wallonie et Flandre comparées," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales), Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES) 2001024, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).

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