What is Assumed in the GTAP Database's Disaggregation of Labor by Skill Level?
The 45 region by 50 commodity by 5 primary factor version of the GTAP database provides us with the splits of total labor payments into two categories, viz. skilled and unskilled labor in each sector. The decomposition of total labor payments in all sectors and all regions according to differentials in the skill content of the labor force presupposes substitution possibilities between these two categories of labor. Our interest is to explore the elasticity of substitution implicit in this disaggregation of occupation types. Given the skilled labor payment shares (as calculated from the GTAP database), we offer an ex post rationalization of them within a production-theoretic framework, thereby deriving estimates of the elasticity of substitution between skilled and unskilled labor. The adoption of a suitable nesting of skilled and unskilled labor in GTAP's production function enables us to find a 'reasonable' value for the substitution elasticity that is implicit between the two categories of labor in the GTAP database. This relies on the inter-regional covariation in the GTAP shares and in measures of educational attainment.
|Date of creation:||Oct 1999|
|Contact details of provider:|| Postal: PO Box 14428, Melbourne, Victoria, 8001|
Phone: 03 9919 1877
Web page: http://www.copsmodels.com/about.htm
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Barro, Robert J. & Lee, Jong-Wha, 1993.
"International comparisons of educational attainment,"
Journal of Monetary Economics,
Elsevier, vol. 32(3), pages 363-394, December.
- Robert J. Barro & Jong-Wha Lee, 1993. "International Comparisons of Educational Attainment," NBER Working Papers 4349, National Bureau of Economic Research, Inc.
When requesting a correction, please mention this item's handle: RePEc:cop:wpaper:ip-75. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Horridge)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.