Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/189765 
Year of Publication: 
2018
Series/Report no.: 
cemmap working paper No. CWP42/18
Publisher: 
Centre for Microdata Methods and Practice (cemmap), London
Abstract: 
We examine the labor market consequences of an exogenous increase in the supply of skilled labor in several cities in Norway, resulting from the construction of new colleges in the 1970s. We find that skilled wages increased as a response, suggesting that along with an increase in the supply there was also an increase in demand for skill. We also show that college openings led to an increase in the productivity of skilled labor and investments in R&D. Our findings are consistent with models of endogenous technical change where an abundance of skilled workers may encourage firms to adopt skill-complementary technologies, leading to an upward-sloping long-run demand for skill.
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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