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The Allocation of Talent and U.S. Economic Growth

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Listed:
  • Chang-Tai Hsieh
  • Erik Hurst
  • Charles I. Jones
  • Peter J. Klenow

Abstract

Over the last 50 years, there has been a remarkable convergence in the occupational distribution between white men, women, and blacks. We measure the macroeconomic consequences of this convergence through the prism of a Roy model of occupational choice in which women and blacks face frictions in the labor market and in the accumulation of human capital. The changing frictions implied by the observed occupational convergence account for 15 to 20 percent of growth in aggregate output per worker since 1960.

Suggested Citation

  • Chang-Tai Hsieh & Erik Hurst & Charles I. Jones & Peter J. Klenow, 2013. "The Allocation of Talent and U.S. Economic Growth," NBER Working Papers 18693, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:18693
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    More about this item

    JEL classification:

    • J70 - Labor and Demographic Economics - - Labor Discrimination - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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