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Skills and earnings revisited

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Author Info
Geraint Johnes

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Abstract

Regression and neural network models of wage determination are constructed where the explanatory variables include detailed information about skills. People skills, strategic skills, and IT skills all carry strong and significant wage premia; problem-solving skills (surprisingly) and physical skills (less surprisingly) do not. In contrast to the impact of school curriculum on subsequent earnings, the neural network modelling procedure does not pick up any significant nonlinearities in the relationship between skills and earnings.

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File URL: http://www.lums.lancs.ac.uk/publications/viewpdf/003051/
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Publisher Info
Paper provided by Lancaster University Management School, Economics Department in its series Working Papers with number 003051.

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Date of creation: 2005
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Handle: RePEc:lan:wpaper:003051

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Keywords: skills earnings neural networks

References listed on IDEAS
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  1. Geraint Johnes, 2005. "'Don't Know Much About History': Revisiting the Impact of Curriculum on Subsequent Labour Market Outcomes," Bulletin of Economic Research, Blackwell Publishing, vol. 57(3), pages 249-271, 07. [Downloadable!] (restricted)
  2. 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:
  3. DiNardo, John E & Pischke, Jorn-Steffen, 1997. "The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?," The Quarterly Journal of Economics, MIT Press, vol. 112(1), pages 291-303, February.
    Other versions:
  4. Johnes, Geraint, 1999. "Forecasting Unemployment," Applied Economics Letters, Taylor and Francis Journals, vol. 6(9), pages 605-07, September. [Downloadable!] (restricted)
  5. Andy Dickerson & Francis Green, 2004. "The growth and valuation of computing and other generic skills," Oxford Economic Papers, Oxford University Press, vol. 56(3), pages 371-406, July. [Downloadable!] (restricted)
  6. Geraint Johnes, 2000. "Up Around the Bend: linear and nonlinear models of the UK economy compared," International Review of Applied Economics, Taylor and Francis Journals, vol. 14(4), pages 485-493, October. [Downloadable!] (restricted)
  7. Dolton, P J & Vignoles, A, 2002. "The Return on Post-compulsory School Mathematics Study," Economica, London School of Economics and Political Science, vol. 69(273), pages 113-41, February. [Downloadable!] (restricted)
  8. Swanson, Norman R. & White, Halbert, 1997. "Forecasting economic time series using flexible versus fixed specification and linear versus nonlinear econometric models," International Journal of Forecasting, Elsevier, vol. 13(4), pages 439-461, December. [Downloadable!] (restricted)
  9. Francis Green, 1998. "The Value of Skills," Studies in Economics 9819, Department of Economics, University of Kent. [Downloadable!]
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This page was last updated on 2008-7-8.


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