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Skill-biased technological change, international trade and the wage structure

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  • Kölling, Arnd
  • Schank, Thorsten

Abstract

During the last two decades, the labour demand structure in Germany has experienced a decrease in the demand for the low skilled. Possible explanations for this trend are investigated in this study for West Germany (1994- 1997) using a unique linked employer-employee panel data set for Germany. Estimation results of the conditional labour demand for three different skill types indicate that the major part of the skill structure is determined by wages, while we have found only minor impacts of a skill-biased technological change and of international trade. -- In den letzten beiden Jahrzehnten hat sich die Beschäftigtenstruktur in Deutschland zuungunsten der Un- und Angelernten entwickelt. Mögliche Ursachen für diesen Trend werden in der vorliegenden Studie auf der Basis eines neuen, aus Individual- und Betriebsdaten zusammengefügten Datensatzes, für West-Deutschland (1994-1997) untersucht. Schätzungen der bedingten Arbeitsnachfrage für drei verschiedene Qualifikationsgruppen zeigen, dass der größte Teil der Beschäftigtenstruktur von den Löhnen bestimmt wird, während nur geringe Einflüsse des technologischen Wandels und des internationalen Handels identifiziert werden.

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Bibliographic Info

Paper provided by Friedrich-Alexander-University Erlangen-Nuremberg, Chair of Labour and Regional Economics in its series Discussion Papers with number 14.

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Date of creation: 2002
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Handle: RePEc:zbw:faulre:14

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Web page: http://www.arbeitsmarkt.wiso.uni-erlangen.de/english-version/
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Keywords: labour demand; substitution; skill-biased technological change; labour hoarding; international trade; linked employer-employee data;

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References

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  1. Eli Berman & John Bound & Stephen Machin, 1998. "Implications Of Skill-Biased Technological Change: International Evidence," The Quarterly Journal of Economics, MIT Press, vol. 113(4), pages 1245-1279, November.
  2. Daron Acemoglu, 2001. "Directed Technical Change," NBER Working Papers 8287, National Bureau of Economic Research, Inc.
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  5. Abowd, John M. & Kramarz, Francis, 1999. "The analysis of labor markets using matched employer-employee data," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 40, pages 2629-2710 Elsevier.
  6. Bellmann, Lutz & Schank, Thorsten, 2000. "Innovations, Wages and Demand for Heterogeneous Labour: New Evidence from a Matched Employer-Employee Data-Set," IZA Discussion Papers 112, Institute for the Study of Labor (IZA).
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  11. Machin, S. & Van Reenen, J., 1997. "Technology and Changes in Skill Structure: Evidence from Seven OECD Countries," Papers 24, Centre for Economic Performance & Institute of Economics.
  12. 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.
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  14. Falk, Martin & Koebel, Bertrand M., 2000. "A dynamic heterogeneous labour demand model for German manufacturing," ZEW Discussion Papers 00-16, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
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  16. Bound, John & Johnson, George, 1992. "Changes in the Structure of Wages in the 1980's: An Evaluation of Alternative Explanations," American Economic Review, American Economic Association, vol. 82(3), pages 371-92, June.
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  19. Berman, Eli & Bound, John & Griliches, Zvi, 1994. "Changes in the Demand for Skilled Labor within U.S. Manufacturing: Evidence from the Annual Survey of Manufactures," The Quarterly Journal of Economics, MIT Press, vol. 109(2), pages 367-97, May.
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  22. Timothy F. Bresnahan & Erik Brynjolfsson & Lorin M. Hitt, 2002. "Information Technology, Workplace Organization, And The Demand For Skilled Labor: Firm-Level Evidence," The Quarterly Journal of Economics, MIT Press, vol. 117(1), pages 339-376, February.
  23. Richard B. Freeman, 1995. "Are Your Wages Set in Beijing?," Journal of Economic Perspectives, American Economic Association, vol. 9(3), pages 15-32, Summer.
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Cited by:
  1. Addison, John T. & Bellmann, Lutz & Schank, Thorsten & Teixeira, Paulino, 2005. "The Demand for Labor: An Analysis Using Matched Employer-Employee Data from the German LIAB. Will the High Unskilled Worker Own-Wage Elasticity Please Stand Up?," IZA Discussion Papers 1780, Institute for the Study of Labor (IZA).
  2. Carsten Ochsen & Heinz Welsch, 2005. "Technology, trade, and income distribution in West Germany: A factor-share analysis, 1976-1994," Journal of Applied Economics, Universidad del CEMA, vol. 0, pages 321-345, November.
  3. Carsten Ochsen, 2006. "Zukunft der Arbeit und Arbeit der Zukunft in Deutschland," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 7(2), pages 173-193, 05.
  4. repec:iab:iabmit:v:35:i:4:p:506-522 is not listed on IDEAS
  5. Lurweg, Maren, 2010. "Perceived job insecurity, unemployment risk and international trade: A micro-level analysis of employees in German service industries," CAWM Discussion Papers 32, Center of Applied Economic Research Münster (CAWM), University of Münster.
  6. Ljubica Nedelkoska & Simon Wiederhold, 2010. "Technology, outsourcing, and the demand for heterogeneous labor: Exploring the industry dimension," Jena Economic Research Papers 2010-052, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.

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