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The Impact Of Technological Change On Employment: Evidence From A Firm-Level Survey Of Long Island Manufacturers

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  • Donald Siegel

Abstract

Recent studies of capital-skill complementarity suffer from several important empirical limitations and a theoretical framework that treats technological change as exogenous. This paper addresses some of these limitations using a new, detailed firm-level dataset on technology usage and labor composition. Based on two-stage estimation procedures, our results imply that technological change leads to a shift in labor composition and compensation in favor of white-collar workers.

Suggested Citation

  • Donald Siegel, 1998. "The Impact Of Technological Change On Employment: Evidence From A Firm-Level Survey Of Long Island Manufacturers," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 5(2-4), pages 227-246.
  • Handle: RePEc:taf:ecinnt:v:5:y:1998:i:2-4:p:227-246
    DOI: 10.1080/10438599800000006
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    References listed on IDEAS

    as
    1. Bresnahan, Timothy F. & Trajtenberg, M., 1995. "General purpose technologies 'Engines of growth'?," Journal of Econometrics, Elsevier, vol. 65(1), pages 83-108, January.
    2. Jacob Mincer, 1989. "Human Capital Responses to Technological Change in the Labor Market," NBER Working Papers 3207, National Bureau of Economic Research, Inc.
    3. Catherine J. Morrison, 2000. "Assessing The Productivity Of Information Technology Equipment In U.S. Manufacturing Industries," The Review of Economics and Statistics, MIT Press, vol. 79(3), pages 471-481, August.
    4. Ernst R. Berndt & Catherine J. Morrison & Larry S. Rosenblum, 1992. "High-Tech Capital Formation and Labor Composition in U.S. Manufacturing Industries: An Exploratory Analysis," NBER Working Papers 4010, National Bureau of Economic Research, Inc.
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    Citations

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    Cited by:

    1. Piva, Mariacristina & Santarelli, Enrico & Vivarelli, Marco, 2005. "The skill bias effect of technological and organisational change: Evidence and policy implications," Research Policy, Elsevier, vol. 34(2), pages 141-157, March.
    2. Eli Bekman & John Bound & Stephen Machin, 1998. "Implications of Skill-Biased Technological Change: International Evidence," The Quarterly Journal of Economics, Oxford University Press, vol. 113(4), pages 1245-1279.
    3. Boyan Jovanovic, 1998. "Vintage Capital and Inequality," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 1(2), pages 497-530, April.
    4. Ann P. Bartel & Nachum Sicherman, 1999. "Technological Change and Wages: An Interindustry Analysis," Journal of Political Economy, University of Chicago Press, vol. 107(2), pages 285-325, April.
    5. Falk, Martin, 2001. "Diffusion of information technology, internet use and the demand of heterogeneous labor," ZEW Discussion Papers 01-48, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    6. Bartel, Ann P & Sicherman, Nachum, 1998. "Technological Change and the Skill Acquisition of Young Workers," Journal of Labor Economics, University of Chicago Press, vol. 16(4), pages 718-755, October.
    7. Albert Link & John Scott, 2002. "Explaining Observed Licensing Agreements: Toward a Broader Understanding of Technology Flows," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 11(3), pages 211-231.
    8. repec:cvs:starer:9816 is not listed on IDEAS
    9. R Harris & Q Li & C Robinson, "undated". "The Productivity Impact of Skills in English Manufacturing, 2001: Evidence from Plant-Level Matched Data," Working Papers 2006_16, Business School - Economics, University of Glasgow.
    10. Chih-Hai YANG & Chun-Hung A. LIN, 2008. "Developing Employment Effects Of Innovations: Microeconometric Evidence From Taiwan," The Developing Economies, Institute of Developing Economies, vol. 46(2), pages 109-134.
    11. Falk, Martin, 2002. "Diffusion der Informations- und Kommunikationstechnologien und die Qualifikationsstruktur der Arbeitskräfte (Diffusion of information and communication technology and the qualification structure of th," Mitteilungen aus der Arbeitsmarkt- und Berufsforschung, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 35(3), pages 397-410.
    12. Martin Falk, 2004. "Employment of High-skilled Labour, Computer Investment and Innovation Expenditures. Speed-up of Technological Change," WIFO Monatsberichte (monthly reports), WIFO, vol. 77(3), pages 213-222, March.
    13. Angeles, Luis & Neanidis, Kyriakos C., 2009. "Aid effectiveness: the role of the local elite," Journal of Development Economics, Elsevier, vol. 90(1), pages 120-134, September.
    14. Sabourin, David, 2001. "Skill Shortages and Advanced Technology Adoption," Analytical Studies Branch Research Paper Series 2001175e, Statistics Canada, Analytical Studies Branch.
    15. Sabourin, David, 2001. "Penuries de main-d'oeuvre qualifiee et adoption des technologies de pointe," Direction des etudes analytiques : documents de recherche 2001175f, Statistics Canada, Direction des etudes analytiques.
    16. Mariacristina Piva & Enrico Santarelli & Marco Vivarelli, 2004. "Technological and Organizational Changes as Determinants of the Skill Bias: Evidence from a Panel of Italian Firms," Papers on Entrepreneurship, Growth and Public Policy 2004-03, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
    17. repec:iab:iabmit:v:35:i:3:p:397-410 is not listed on IDEAS
    18. repec:wfo:wstudy:25249 is not listed on IDEAS

    More about this item

    Keywords

    advanced manufacturing technologies; skill-biased technological change JEL Classification: J23; O32; O33;

    JEL classification:

    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • 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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