scroll to top
Stuck on your essay?
Get ideas from this essay and see how your work stacks up
Word Count: 1,882
evidence of technological change The early evidence on the importance of technological changes a source of the shifts in the relative demand for different types of labor during the 1980s came from case studies The Bureau of labor Statistics conducted several case studies of the effects of changes in production processes in particular industries Mark 1987 In an industry that experienced a significant change in technology the usual pattern was a dramatic reduction in the employment of production workers with an increase or no change in the number of skilled workers in that industry More recently there have been several econometric analyses of the effects of variables like the appropriately lagged rate of investment in computers and or other forms of information capital and the ratio of expenditures on research and development to sales on changes in the skill composition of industries for examples Berman Bound and Griliches 1994 The results of these studies are consistent with those of the case studies and the hypotheses that the recent technological change has shifted the relative demand for skilled labor to the right Changes in production techniques have widened across the country quickly especially the multinational firms Thus if technological change is an important determinant of relative demand shifts one would expect to observe patterns in other industrialized countries similar to those in the United States Some of the recent studies report results for a variety of old industrialized OECD countries that are indeed consistent with the US results Collechia and Papaconstantinou 1996 Machin Ryan and Van Reenan 1996 These countries vary a great deal with respect to changes in their situations with respect to trade labor market institutions like the importance of trade unions and unemployment Obviously the relative demand for skilled labor in each of them is rising rapidly In my view it is the fairly strong evidence in favor of the wage inequality and technological change story A factor that is often
@Kibin is a lifesaver for my essay right now!!
- Sandra Slivka, student @ UC Berkeley
Wow, this is the best essay help I've ever received!
- Camvu Pham, student @ U of M
If I'd known about @Kibin in college, I would have gotten much more sleep
- Jen Soust, alumni @ UCLA