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On Simplifying the Structure of Labour Demand: An Analysis of the DOT Data Abstract:

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Author Info
Wim P.M. Vijverberg () (University of Texas at Dallas and IZA Bonn)
Joop Hartog () (University of Amsterdam and IZA Bonn)
Abstract

We analyse the information in the Dictionary of Occupational Titles to characterize the structure of labour demand. Two dimensions, an intellectual factor and a dexterity factor capture most variation in job requirements. Job complexity in relation to Things correlates highly with the dexterity factor. Complexity in relation to Data is intricately interwoven with most other dimensions of jobs. Remarkably, while complexity in relation to Data and to Things associates with extensive training, this does not hold for complexity in relation to People. There is no dichotomy between mathematical and verbal required skills. Poor working conditions are not the exclusive prerogative for workers in low level jobs. This independence provides a good setting for testing the theory of compensating wage differentials and indeed we find a good deal of support.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1809.

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Length: 24 pages
Date of creation: Oct 2005
Date of revision:
Handle: RePEc:iza:izadps:dp1809

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Related research
Keywords: labor demand structure; job requirements; compensating differentials;

Find related papers by JEL classification:
J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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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. Richard J. Murnane & John B. Willett & Frank Levy, 1995. "The Growing Importance of Cognitive Skills in Wage Determination," NBER Working Papers 5076, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  2. Brown, Charles, 1980. "Equalizing Differences in the Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 94(1), pages 113-34, February. [Downloadable!] (restricted)
  3. Lucas, Robert E B, 1977. "Hedonic Wage Equations and Psychic Wages in the Returns to Schooling," American Economic Review, American Economic Association, vol. 67(4), pages 549-58, September. [Downloadable!] (restricted)
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