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Skill Bias magnified: Identifying the role of international technology diffusion

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  • Schulte, Patrick

Abstract

This paper studies whether innovations underlying skill-biased technical change diffuse internationally and thereby contribute to the increasing skill demand and inequality in other countries. Using a new empirical framework and sectoral data for a panel of 40 emerging and developed countries, 25 industries and the period from 1995 to 2007, the analysis shows that technology diffusion is statistically and economically important in explaining skill-biased technical change. The results hold for both advanced and emerging economies, as well as in several robustness checks.

Suggested Citation

  • Schulte, Patrick, 2021. "Skill Bias magnified: Identifying the role of international technology diffusion," Journal of International Economics, Elsevier, vol. 129(C).
    • Handle: RePEc:eee:inecon:v:129:y:2021:i:c:s0022199621000192
    DOI: 10.1016/j.jinteco.2021.103442
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    2. Stefan Pahl & Marcel P Timmer & Reitze Gouma & Pieter J Woltjer, 2022. "Jobs and Productivity Growth in Global Value Chains: New Evidence for Twenty-five Low- and Middle-Income Countries," The World Bank Economic Review, World Bank, vol. 36(3), pages 670-686.

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    More about this item

    Keywords

    Advanced and emerging economies; Distance; Industry-level data; Input-output linkages; Skill-biased technical change; Technology diffusion;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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