Please use this identifier to cite or link to this item:
https://hdl.handle.net/10419/24175
Full metadata record
DC Field | Value | Language |
---|---|---|
dc.contributor.author | Weiss, Matthias | en |
dc.contributor.author | Garloff, Alfred | en |
dc.date.accessioned | 2009-02-16T14:49:37Z | - |
dc.date.available | 2009-02-16T14:49:37Z | - |
dc.date.issued | 2005 | - |
dc.identifier.uri | http://hdl.handle.net/10419/24175 | - |
dc.description.abstract | In this paper, we study the effect of skill-biased technological change onunemployment when benefits are linked to the evolution of average income and when thisis not the case. In the former case, an increase in the productivity of skilled workersand hence their wage leads to an increase in average income and hence in benefits. Theincreased fallback income, in turn, makes unskilled workers ask for higher wages. As higherwages are not justified by respective productivity increases, unemployment rises. Moregenerally, we show that skill-biased technological change leads to increasing unemploymentof the unskilled when benefits are endogenous.The model provides a theoretical explanation for diverging developments in wage inequalityand unemployment under different social benefits regimes: Analyzing the sociallegislation in 14 countries, we find that benefits are linked to the evolution of averageincome in Continental Europe but not in the U.S. and the UK. Given this institutionaldifference, our model predicts that skill-biased technological change leads to rising unemploymentin Continental Europe and rising wage inequality in the U.S. and the UK. | en |
dc.language.iso | eng | en |
dc.publisher | |aZentrum für Europäische Wirtschaftsforschung (ZEW) |cMannheim | en |
dc.relation.ispartofseries | |aZEW Discussion Papers |x05-79 | en |
dc.subject.jel | O30 | en |
dc.subject.jel | E24 | en |
dc.subject.jel | J50 | en |
dc.subject.jel | J31 | en |
dc.subject.ddc | 330 | en |
dc.subject.keyword | Unemployment | en |
dc.subject.keyword | Skill-Biased Technological Change | en |
dc.subject.keyword | Benefits | en |
dc.subject.stw | Arbeitslosigkeit | en |
dc.subject.stw | Lohnstruktur | en |
dc.subject.stw | Technischer Fortschritt | en |
dc.subject.stw | Qualifikation | en |
dc.subject.stw | Mehr-Sektoren-Modell | en |
dc.subject.stw | Faktorsubstitution | en |
dc.subject.stw | Relativer Preis | en |
dc.subject.stw | Theorie | en |
dc.title | Skill Biased Technological Change and Endogenous Benefits: The Dynamics of Unemployment and Wage Inequality | - |
dc.type | Working Paper | en |
dc.identifier.ppn | 504688537 | en |
dc.rights | http://www.econstor.eu/dspace/Nutzungsbedingungen | en |
dc.identifier.repec | RePEc:zbw:zewdip:4562 | en |
Files in This Item:
Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.