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The relative efficiency of skilled labor across countries : measurement and interpretation
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Rossi, Federico (2022) The relative efficiency of skilled labor across countries : measurement and interpretation. American Economic Review, 112 (1). pp. 235-266. doi:10.1257/aer.20191852 ISSN 0002-8282.
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Official URL: https://doi.org/10.1257/aer.20191852
Abstract
I study how the relative efficiency of high- and low-skill labor varies across countries. Using microdata for countries at different stages of development, I document that differences in relative quantities and wages are consistent with high-skill workers being relatively more productive in rich countries. I exploit variation in the skill premia of foreign-educated migrants to discriminate between two possible drivers of this pattern: cross-country differences in the skill bias of technology and in the relative human capital of skilled labor. I find that the former is quantitatively more important, and discuss the implications of this result for development accounting.
| Item Type: | Journal Article | ||||||
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| Subjects: | H Social Sciences > HB Economic Theory H Social Sciences > HD Industries. Land use. Labor |
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| Divisions: | Faculty of Social Sciences > Economics | ||||||
| Library of Congress Subject Headings (LCSH): | Macroeconomics -- Mathematical models, Economic development, Labor supply -- Effect of education on, Labor productivity -- Effect of education on, Unemployment -- Research, Human capital | ||||||
| Journal or Publication Title: | American Economic Review | ||||||
| Publisher: | American Economic Association | ||||||
| ISSN: | 0002-8282 | ||||||
| Official Date: | January 2022 | ||||||
| Dates: |
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| Volume: | 112 | ||||||
| Number: | 1 | ||||||
| Page Range: | pp. 235-266 | ||||||
| DOI: | 10.1257/aer.20191852 | ||||||
| Status: | Peer Reviewed | ||||||
| Publication Status: | Published | ||||||
| Reuse Statement (publisher, data, author rights): | "Copyright © 1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017, 2018, 2019, 2020 by the American Economic Association. Permission to make digital or hard copies of part or all of American Economic Association publications for personal or classroom use is granted without fee provided that copies are not distributed for profit or direct commercial advantage and that copies show this notice on the first page or initial screen of a display along with the full citation, including the name of the author. Copyrights for components of this work owned by others than AEA must be honored. Abstracting with credit is permitted. The author has the right to republish, post on servers, redistribute to lists and use any component of this work in other works. For others to do so requires prior specific permission and/or a fee. Permissions may be requested from the American Economic Association Administrative Office by going to the Contact Us form and choosing ""Copyright/Permissions Request"" from the menu. | ||||||
| Access rights to Published version: | Restricted or Subscription Access | ||||||
| Date of first compliant deposit: | 12 October 2021 | ||||||
| Date of first compliant Open Access: | 14 October 2021 | ||||||
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