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The Distribution of Relative Demand and Relative Supply Shocks for Managers Across the U.S. Economy

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  • P. Michael KOSICEK

    (Indiana University of Pennsylvania, USA)

  • Ramesh SONI

    (Indiana University of Pennsylvania, USA)

  • David YERGER

    (Indiana University of Pennsylvania, USA)

Abstract

We construct relative wage and relative quantity employed measures for managers versus all other workers for 249 U.S. industries for 2002 and 2020 and then classify industries into four outcomes: a rise or fall in relative demand for managers, and a rise or fall in relative supply of managers. A rise in relative demand for managers is the least likely outcome to occur, but it has the highest average earnings for all other workers. Real earnings growth over this time for all other workers is strongest in the outcomes with a rising relative quantity employed of managers, suggesting managers and higher-skilled workers are more complements to, than substitutes for, each other. Service industries are more likely to have a rising relative demand for managers than goods industries. Industries in comparative advantage sectors are likely to have a higher relative quantity of managers than industries in disadvantage sectors.

Suggested Citation

  • P. Michael KOSICEK & Ramesh SONI & David YERGER, 2023. "The Distribution of Relative Demand and Relative Supply Shocks for Managers Across the U.S. Economy," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 2, pages 5-13.
    • Handle: RePEc:ddj:fseeai:y:2023:i:2:p:5-13
    DOI: 10.35219/eai15840409331
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    References listed on IDEAS

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