Skill-Biased Technological Change: Is There Hope for the Unskilled?
Posted: 6 Feb 2009
Date Written: September 1, 2008
This paper presents a model in which perpetual skill-biased technological change does not lead to ever increasing wage inequality. The model is consistent with the increase in wage inequality in the 1980s and the subsequent stabilization in the 1990s.
Keywords: Skill-Biased Techhnological Change, Wage Inequality, Factor Substitution
JEL Classification: E24, J31, O30
Suggested Citation: Suggested Citation