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The Growth and Valuation of Generic Skills

  • Andy Dickerson

    ()

  • Francis Green

    ()

Using a method for measuring job skills derived from survey data on detailed work activities, we show that between 1997 and 2001 there was a growth in Britain in the utilisation of computing skills, literacy, numeracy, technical know-how, high level communication skills, planning skills, client communication skills, horizontal communication skills, problem-solving and checking skills. Computer skills and high-level communication skills carry positive wage premia, as shown both in cross-section hedonic wage equations and through a within-cohorts change analysis. No part of the gender pay gap can be accounted for by differences in levels of generic skills between men and women.

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File URL: ftp://ftp.ukc.ac.uk/pub/ejr/RePEc/ukc/ukcedp/0203.pdf
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Paper provided by School of Economics, University of Kent in its series Studies in Economics with number 0203.

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Date of creation: May 2002
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Handle: RePEc:ukc:ukcedp:0203
Contact details of provider: Postal: School of Economics, University of Kent, Canterbury, Kent, CT2 7NP
Phone: +44 (0)1227 827497
Web page: http://www.kent.ac.uk/economics/

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  1. McNabb, Robert, 1989. "Compensating Wage Differentials: Some Evidence for Britain," Oxford Economic Papers, Oxford University Press, vol. 41(2), pages 327-38, April.
  2. Deaton, Angus, 1985. "Panel data from time series of cross-sections," Journal of Econometrics, Elsevier, vol. 30(1-2), pages 109-126.
  3. John E. DiNardo & Jorn-Steffen Pischke, 1996. "The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?," NBER Working Papers 5606, National Bureau of Economic Research, Inc.
  4. Lucas, Robert E B, 1977. "Hedonic Wage Equations and Psychic Wages in the Returns to Schooling," American Economic Review, American Economic Association, vol. 67(4), pages 549-58, September.
  5. John P. Haisken-DeNew & Christoph M. Schmidt, 1999. "Money for Nothing and Your Chips for Free?: The Anatomy of the PC Wage Differential," Discussion Papers of DIW Berlin 178, DIW Berlin, German Institute for Economic Research.
  6. Timothy F. Bresnahan, 1997. "Computerization and Wage Dispersion: An Analytical Reinterpretation," Working Papers 97031, Stanford University, Department of Economics.
  7. Murnane, Richard J & Willett, John B & Levy, Frank, 1995. "The Growing Importance of Cognitive Skills in Wage Determination," The Review of Economics and Statistics, MIT Press, vol. 77(2), pages 251-66, May.
  8. Sandra E. Black & Lisa M. Lynch, 2001. "What's driving the new economy? The benefits of workplace innovation," Staff Reports 118, Federal Reserve Bank of New York.
  9. Timothy F. Bresnahan & Erik Brynjolfsson & Lorin M. Hitt, 1999. "Information Technology, Workplace Organization and the Demand for Skilled Labor: Firm-Level Evidence," NBER Working Papers 7136, National Bureau of Economic Research, Inc.
  10. Andrew K. G. Hildreth, 2001. "A New Voice or a Waste of Time? Wage Premiums from Using Computers for Communication in the UK Workplace," British Journal of Industrial Relations, London School of Economics, vol. 39(2), pages 257-284, 06.
  11. Liu, Jin-Tan & Tsou, Meng-Wen & Hammitt, James K, 2001. "The Impact of Advanced Technology Adoption on Wage Structures: Evidence from Taiwan Manufacturing Firms," Economica, London School of Economics and Political Science, vol. 68(271), pages 359-78, August.
  12. Entorf, Horst & Kramarz, Francis, 1997. "Does unmeasured ability explain the higher wages of new technology workers?," European Economic Review, Elsevier, vol. 41(8), pages 1489-1509, August.
  13. Green, Francis & McIntosh, Steven & Vignoles, Anna, 2002. "The Utilization of Education and Skills: Evidence from Britain," Manchester School, University of Manchester, vol. 70(6), pages 792-811, December.
  14. Entorf, Horst & Gollac, Michel & Kramarz, Francis, 1997. "New Technologies, Wages and Worker Selection," CEPR Discussion Papers 1761, C.E.P.R. Discussion Papers.
  15. Freeman, Richard & Schettkat, Ronald, 2001. "Skill Compression, Wage Differentials, and Employment: Germany vs the US," Oxford Economic Papers, Oxford University Press, vol. 53(3), pages 582-603, July.
  16. Peter Cappelli, 1993. "Are skill requirements rising? Evidence from production and clerical jobs," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 46(3), pages 515-530, April.
  17. Heckman, James & Scheinkman, Jose, 1987. "The Importance of Bundling in a Gorman-Lancaster Model of Earnings," Review of Economic Studies, Wiley Blackwell, vol. 54(2), pages 243-55, April.
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