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Changes in the Demand for Skilled Labor within Japan's Manufacturing Sector:Effects of Skill-Biased Technological Change and Globalization

Author

Listed:
  • Hitoshi Sasaki

    (Bank of Japan)

  • Kenichi Sakura

    (Bank of Japan)

Abstract

This paper examines the demand shift toward workers who are university graduates in terms of skill-biased technological change (SBTC) and globalization, both of which utilize relatively more workers with specific skills. According to the results of our empirical study, which used the major groups of Japan's manufacturing panel data from the 1988-2003, it is clear that the increase in the relative demand for university graduates is closely related to the R&D expenditures ratio (SBTC) and the import ratio from the East Asian countries or the foreign production ratio (globalization). This suggests that there has been a demand shift toward highly educated workers in Japan's manufacturing sector due to both SBTC and globalization.

Suggested Citation

  • Hitoshi Sasaki & Kenichi Sakura, 2005. "Changes in the Demand for Skilled Labor within Japan's Manufacturing Sector:Effects of Skill-Biased Technological Change and Globalization," Bank of Japan Working Paper Series 05-E-12, Bank of Japan.
    • Handle: RePEc:boj:bojwps:05-e-12
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    References listed on IDEAS

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    Cited by:

    1. Kiyota, Kozo & Maruyama, Sawako, 2017. "ICT, offshoring, and the demand for part-time workers: The case of Japanese manufacturing," Journal of Asian Economics, Elsevier, vol. 48(C), pages 75-86.
    2. Sanghoon Ahn & Kyoji Fukao & Keiko Ito, 2008. "The Impact of Outsourcing on the Japanese and South Korean Labor Markets: International Outsourcing of Intermediate Inputs and Assembly in East Asia," Global COE Hi-Stat Discussion Paper Series gd08-001, Institute of Economic Research, Hitotsubashi University.
    3. Jasmine Mondolo, 2022. "The composite link between technological change and employment: A survey of the literature," Journal of Economic Surveys, Wiley Blackwell, vol. 36(4), pages 1027-1068, September.
    4. Yukiko SAITO & Toshiaki KOUNO, 2012. "Rising Wage Inequality Within Firms: Evidence from Japanese health insurance society data," Discussion papers 12039, Research Institute of Economy, Trade and Industry (RIETI).
    5. Nobuaki Yamashita, 2010. "International Fragmentation of Production," Books, Edward Elgar Publishing, number 13615, August.

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    Keywords

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    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

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