A Demand-Supply Analysis of the Spanish Education Wage Premium in the 1980s and 1990s

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A Demand-Supply Analysis of the Spanish Education Wage Premium in the 1980s and 1990s

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Manuel A. Hidalgo () (Department of Economics, Universidad Pablo de Olavide)

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Manuel Alejandro Hidalgo

Abstract

We estimate the demand for education in Spain, and use the estimated demand curve to analyze whether the evolution of the education wage premium in the 1980s and 1990s can be explained by a demand-supply framework. We find that growth in the demand for education in the 1980s was very similar to growth in the 1990s. Our empirical results show that difference in the evolution of the education wage premium between the two decades can be explained by combining observed changes in labor supply with steady labor demand growth.

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Paper provided by Universidad Pablo de Olavide, Departamento de Economía in its series Working Papers with number 08.01.

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Length: 25 pages
Date of creation: Jan 2008
Date of revision:
Handle: RePEc:pab:wpaper:08.01

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Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
O33 - Economic Development, Technological Change, and Growth - - Technological Change - - - Technological Change: Choices and Consequences; Diffusion Processes

This paper has been announced in the following NEP Reports:

NEP-ALL-2008-01-19 (All new papers)
NEP-EDU-2008-01-19 (Education)
NEP-HRM-2008-01-19 (Human Capital & Human Resource Management)
NEP-LAB-2008-01-19 (Labour Economics)

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