The Comparative Advantage of Educated Workers in Implementing New Technology: Some Empirical Evidence
AbstractIn this paper we estimate variants of a labor demand equation derived from a (restricted variable) cost function in which "experience"on a technology (proxied by the mean age of the capital stock) enters "non-neutrally." Our specification of the underlying cost function isbased on the hypothesis that highly educated workers have a comparative advantage with respect to the adjustment to and implementation of new technologies. Our empirical results are consistent with the implication of this hypothesis, that the relative demand for educated workers declines as the capital stock (and presumably the technology embodied therein) ages. According to our estimates, the education-distribution of employment depends more strongly on the age of equipment than on the age of plant, and the effect of changes in equipment age on labor demand is magnified in R&D-intensive industries.
Download InfoIf 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.
Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 1718.
Date of creation: Oct 1985
Date of revision:
Note: LS PR
Contact details of provider:
Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
Web page: http://www.nber.org
More information through EDIRC
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.:
- Griliches, Zvi & Lichtenberg, Frank, 1984.
"Interindustry Technology Flows and Productivity Growth: A Re-examination,"
The Review of Economics and Statistics,
MIT Press, vol. 66(2), pages 324-29, May.
- Zvi Griliches, 1998. "Interindustry Technology Flows and Productivity Growth: A Reexamination," NBER Chapters, in: R&D and Productivity: The Econometric Evidence, pages 241-250 National Bureau of Economic Research, Inc.
- Binswanger, Hans P., 1973.
"The Measurement Of Technical Change Biases With Many Factors Of Production,"
14205, University of Minnesota, Department of Applied Economics.
- Binswanger, Hans P, 1974. "The Measurement of Technical Change Biases with Many Factors of Production," American Economic Review, American Economic Association, vol. 64(6), pages 964-76, December.
- Jorgenson, Dale W, 1971. "Econometric Studies of Investment Behavior: A Survey," Journal of Economic Literature, American Economic Association, vol. 9(4), pages 1111-47, December.
- Pierre A. Mohnen & M. Ishaq Nadiri & Ingmar R. Prucha, 1984. "R&D, Production Structure, and Productivity Growth in the U.S., Japaneseand German Manufacturing Sectors," NBER Working Papers 1264, National Bureau of Economic Research, Inc.
- Welch, F, 1970. "Education in Production," Journal of Political Economy, University of Chicago Press, vol. 78(1), pages 35-59, Jan.-Feb..
- Michael Denny & Melvyn Fuss, 1983. "The Effects of Factor Prices and Technological Change on the Occupational Demand for Labor: Evidence from Canadian Telecommunications," Journal of Human Resources, University of Wisconsin Press, vol. 18(2), pages 161-176.
- Richard R. Nelson & Edmond S. Phelps, 1965. "Investment in Humans, Technological Diffusion and Economic Growth," Cowles Foundation Discussion Papers 189, Cowles Foundation for Research in Economics, Yale University.
- Jon Wisman, 2001.
"Creative destruction and labor's options,"
Forum for Social Economics,
Springer, vol. 30(2), pages 51-76, March.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.