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Human Capital Responses to Technological Change in the Labor Market

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Author Info
Jacob Mincer
Abstract

In a broad sense, the relation of human capital to economic growth is reciprocal. This study focuses more narrowly on labor market consequences of human capital adjustments to the pace of technological change. Using Jorgensons multifactor productivity growth indexes for industrial sectors in the 1960's and 1970's the study explores effects of differential pace of technological changes on industry demands for educated and trained workers as reflected in PSID data covering the 1968 to 1983 period. The findings show relative increases both in quantity demanded (utilization) and in price (wages) of skilled workers in the more progressive sectors. Steeper wage profiles, lesser turnover, and lesser unemployment characterize labor in sectors whose productivity grew faster in preceding years. The growth of sectoral capital intensity produces similar effects. But, as newer vintages of capital contain new technology, the skill bias of capital intensity partly reflects the skill bias of technology.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 3207.

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Date of creation: Dec 1989
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Handle: RePEc:nbr:nberwo:3207

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  1. Bartel, Ann P & Lichtenberg, Frank R, 1987. "The Comparative Advantage of Educated Workers in Implementing New Technology," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 1-11, February. [Downloadable!] (restricted)
  2. 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. [Downloadable!] (restricted)
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  3. Schultz, Theodore W, 1975. "The Value of the Ability to Deal with Disequilibria," Journal of Economic Literature, American Economic Association, vol. 13(3), pages 827-46, September. [Downloadable!] (restricted)
  4. Mincer, Jacob, 1984. "Human capital and economic growth," Economics of Education Review, Elsevier, vol. 3(3), pages 195-205, June. [Downloadable!] (restricted)
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  1. Zon,A.H.,van & Muysken,J., 1997. "Health, education and endogenous growth," Research Memoranda 006, Maastricht : MERIT, Maastricht Economic Research Institute on Innovation and Technology. [Downloadable!]
  2. Lopez-Acevedo, Gladys & Tinajero, Monica & Rubio, Marcela, 2005. "Mexico : human capital effects on wages and productivity," Policy Research Working Paper Series 3791, The World Bank. [Downloadable!]
  3. Thomas Gries & Stefan Jungblut & Tim Krieger & Henning Meier, 2009. "Statutory Retirement Age and Lifelong Learning," Working Papers 9, University of Paderborn, CIE Center for International Economics. [Downloadable!]
  4. Baldwin, John R. & Johnson, Joanne, 1995. "Human Capital Development and Innovation: The Case of Training in Small and Medium Sized Firms," Analytical Studies Branch Research Paper Series 1995074e, Statistics Canada, Analytical Studies Branch. [Downloadable!]
  5. Susan N. Houseman, 1995. "Job Growth and the Quality of Jobs in the U.S. Economy," Staff Working Papers 95-39, W.E. Upjohn Institute for Employment Research. [Downloadable!] (restricted)
  6. Claudia Goldin & Lawrence F. Katz, 1996. "The Origins of Technology-Skill Complementarity," NBER Working Papers 5657, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  7. Mário Centeno & Márcio Corrêa, 2005. "Job Matching, Technological Progress And Worker-Provided On-The-Job Training," Anais do XXXIII Encontro Nacional de Economia [Proceedings of the 33th Brazilian Economics Meeting] 171, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics]. [Downloadable!]
  8. Kuan Xu & Zhengxi Lin, 2007. "Participation in Employer-sponsored Training in Canada: Role of Firm Characteristics and Worker Attributes," Department of Economics at Dalhousie University working papers archive paperb1_7_ic_workingpaper, Dalhousie, Department of Economics. [Downloadable!]
  9. Lopez-Acevedo, Gladys, 2003. "Wages and productivity in Mexican manufacturing," Policy Research Working Paper Series 2964, The World Bank. [Downloadable!]
  10. Baldwin, John R. & Johnson, Joanne, 1995. "Développement du capital humain et innovation : la formation dans les petites et moyennes entreprises," Direction des études analytiques : documents de recherche 1995074f, Statistics Canada, Direction des études analytiques. [Downloadable!]
  11. Hong Tan & Lopez-Acevedo, Gladys, 2003. "Mexico : in-firm training for the knowledge economy," Policy Research Working Paper Series 2957, The World Bank. [Downloadable!]
  12. Eli Berman & John Bound & Zvi Griliches, 1994. "Changes in the Demand for Skilled Labor within U.S. Manufacturing Industries: Evidence from the Annual Survey of Manufacturing," NBER Working Papers 4255, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  13. Zon,A.H.,van & Meijers,H.H.M. & Muysken,J., 1997. "On trickling chimneys and other unemployment misery," Research Memoranda 004, Maastricht : MERIT, Maastricht Economic Research Institute on Innovation and Technology. [Downloadable!]
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