Advanced Search
MyIDEAS: Login to save this paper or follow this series

Working Paper 22-08 - Wages and employment by level of education and occupation in Belgium

Contents:

Author Info

  • Michel Dumont

Abstract

Increased international economic integration and skill-biased technological change are often regarded as the main drivers of the rising inequality in wages and employment witnessed in industrialized countries in recent decades as they are believed to emphasize differences between individuals in level of education. However, proponents of a task-based view of technological change and offshoring stress the evolving content of tasks as the major determinant of shifts in labour demand and argue that this does not necessarily imply a clear-cut match between the level of education and job opportunities. Belgian data from the Structure and Distribution of Earnings Survey for the period 1999-2004 suggest that the level of wages is significantly correlated with the level of education but wage growth is not. Occupation seems to explain a statistically significant part of the wage level as well as wage growth of workers. The analysis supports the view that the level of education provides less information than the occupation of workers in explaining changes in wages and employment. Overall, it appears that a policy that simply aims to increase the level of education of the active population is not warranted. In addition to the risk of over-education, such a policy is not likely to alleviate the mismatch which to some extent exists between the competencies required by employers and the competencies offered by workers and the unemployed.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.plan.be/admin/uploaded/200902121011340.wp200822.pdf
File Function: english version
Download Restriction: no

Bibliographic Info

Paper provided by Federal Planning Bureau, Belgium in its series Working Papers with number 0822.

as in new window
Length:
Date of creation: 17 Dec 2008
Date of revision:
Handle: RePEc:fpb:wpaper:0822

Contact details of provider:
Postal: Avenue des Arts, 47-49, B-1000 Bruxelles
Phone: (32) 02/507.73.11
Fax: (32) 02/507.73.73
Web page: http://www.plan.be
More information through EDIRC

Related research

Keywords: Wage inequality; Returns to education; Task-based view;

Find related papers by JEL classification:

References

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.:
as in new window
  1. Sascha O. Becker & Karolina Ekholm & Marc-Andreas Muendler, 2009. "Offshoring and the Onshore Composition of Tasks and Skills," IAW Discussion Papers, Institut für Angewandte Wirtschaftsforschung (IAW) 55, Institut für Angewandte Wirtschaftsforschung (IAW).
  2. Autor, David & Dorn, David, 2009. "Inequality and Specialization: The Growth of Low-Skill Service Jobs in the United States," IZA Discussion Papers 4290, Institute for the Study of Labor (IZA).
  3. David H. Autor & Frank Levy & Richard J. Murnane, 2003. "The Skill Content Of Recent Technological Change: An Empirical Exploration," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 118(4), pages 1279-1333, November.
  4. Philip A. Trostel, 2005. "Nonlinearity in the return to education," Journal of Applied Economics, Universidad del CEMA, vol. 0, pages 191-202, May.
  5. Hartmut Egger & Volker Grossmann, 2005. "Non-Routine Tasks, Restructuring of Firms, and Wage Inequality Within and Between Skill-Groups," Journal of Economics, Springer, Springer, vol. 86(3), pages 197-228, December.
  6. Oecd, 2005. "Potential Offshoring of ICT-intensive Using Occupations," OECD Digital Economy Papers, OECD Publishing 91, OECD Publishing.
  7. Krugman, Paul R., 2000. "Technology, trade and factor prices," Journal of International Economics, Elsevier, Elsevier, vol. 50(1), pages 51-71, February.
  8. Nathalie Chusseau & Michel Dumont & Jo�l Hellier, 2008. "Explaining Rising Inequality: Skill-Biased Technical Change And North-South Trade ," Journal of Economic Surveys, Wiley Blackwell, Wiley Blackwell, vol. 22(3), pages 409-457, 07.
  9. David Card & Thomas Lemieux & W. Craig Riddell, 2003. "Unionization and Wage Inequality: A Comparative Study of the U.S, the U.K., and Canada," NBER Working Papers 9473, National Bureau of Economic Research, Inc.
  10. Jeff Borland, 2002. "New Estimates of the Private Rate of Return to University Education in Australia," Melbourne Institute Working Paper Series, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne wp2002n14, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
  11. Maarten Goos & Alan Manning, 2003. "Lousy and Lovely Jobs: the Rising Polarization of Work in Britain," CEP Discussion Papers, Centre for Economic Performance, LSE dp0604, Centre for Economic Performance, LSE.
  12. Thomas Lemieux, 2008. "The changing nature of wage inequality," Journal of Population Economics, Springer, Springer, vol. 21(1), pages 21-48, January.
  13. Card, David, 1999. "The causal effect of education on earnings," Handbook of Labor Economics, Elsevier, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 30, pages 1801-1863 Elsevier.
  14. Gungor Karakaya & Robert Plasman & François Rycx, 2007. "Overeducation on the Belgian labour market: evaluation and analysis of the explanatory factors through two types of approaches," ULB Institutional Repository 2013/9395, ULB -- Universite Libre de Bruxelles.
  15. Gilles Mourre, 2005. "Wage compression and employment in Europe: First evidence from the structure of earnings survey 2002," European Economy - Economic Papers, Directorate General Economic and Monetary Affairs (DG ECFIN), European Commission 232, Directorate General Economic and Monetary Affairs (DG ECFIN), European Commission.
  16. Stephen Machin & John Van Reenen, 2007. "Changes in wage inequality," LSE Research Online Documents on Economics, London School of Economics and Political Science, LSE Library 4667, London School of Economics and Political Science, LSE Library.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:fpb:wpaper:0822. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dominique van der Wal).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.