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Skill Bias, Trade, and Wage Dispersion

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  • Monte, Ferdinando

Abstract

Skill-biased technical change and trade integration have both been indicated to be the cause of the wide increase in wage inequality in U.S. in the last 50 years. This paper shows in a simple uni�ed framework why both mechanisms can reproduce the observed pattern of wage dispersion. Intra-fi�rm rent distribution can be used to disentangle these causes.

Suggested Citation

  • Monte, Ferdinando, 2009. "Skill Bias, Trade, and Wage Dispersion," MPRA Paper 14719, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:14719
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    More about this item

    Keywords

    International Trade; Skill Biased Techical Change; Inequality;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • 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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