The DOI matches its Crossref record; 4 of the 4 references it cites were found in a registry or an index.
Cross‐country Inequality Trends
Open accessAbstract
The economics profession has made considerable progress in understanding the increase in wage inequality in the U.S. and the UK over the past several decades, but currently lacks a consensus on why inequality did not increase, or increased much less, in (continental) Europe over the same time period.I review the two most popular explanations for these differential trends: that relative supply of skills increased faster in Europe, and that European labor market institutions prevented inequality from increasing.I argue that these two explanations go some way towards accounting for the differential cross-country inequality trends, but do not provide an entirely satisfactory explanation.In addition, it appears that relative demand for skills increased differentially across countries.Motivated by this reasoning, I develop a simple theory where labor market institutions creating wage compression in Europe also encourage more investment in technologies increasing the productivity of less-skilled workers, thus implying less skill-biased technical change in Europe than in the U.S.
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Citations
Cites
Changes in Relative Wages, 1963-1987: Supply and Demand Factors
Katz, L. F., & Murphy, K. M. (1992) · The Quarterly Journal of Economics · doi:10.2307/2118323 · Cited by 4,793
Berman, E., Bound, J., & Griliches, Z. (1994) · The Quarterly Journal of Economics · doi:10.2307/2118467 · Cited by 1,870 · cited 1×
“…rose because the relative demand for skills increased faster than the relative supply, most likely due to rapid skill-biased technical change and perhaps also due to increased international trade, for example, Katz and Murphy (1992), Berman et al. (1994), Katz and Autor (1999), Acemoglu (2002a).”
Technical change, inequality, and the labor market
Acemoglu, D. (2002) · Journal of Economic Literature · doi:10.1257/jel.40.1.7 · Cited by 1,767
Jovanovic, B., & Rousseau, P. L. (2005) · Handbook of Economic Growth · doi:10.1016/s1574-0684(05)01018-x · Cited by 708
Cited by
Skills, Tasks and Technologies: Implications for Employment and Earnings
Acemoglu, D., & Autor, D. (2011) · Handbook of Labor Economics · doi:10.1016/s0169-7218(11)02410-5 · Cited by 3,799
Skills, Tasks and Technologies: Implications for Employment and Earnings
Acemoglu, D., & Autor, D. (2010) · doi:10.3386/w16082 · Cited by 2,180
Technical Change, Job Tasks, and Rising Educational Demands: Looking outside the Wage Structure
Spitz‐Oener, A. (2006) · Journal of Labor Economics · doi:10.1086/499972 · Cited by 1,241
When Does Labor Scarcity Encourage Innovation?
Acemoglu, D. (2010) · Journal of Political Economy · doi:10.1086/658160 · Cited by 375
Self-citationHills, J. (2004) · doi:10.1093/0199276641.001.0001 · Cited by 266
Metadata
- Authors
- Acemoglu, D.
- Venue
- The Economic Journal
- Publisher
- Oxford University Press (OUP)
- Published
- 2003-02-01
- Volume
- 113
- Issue
- 485
- Pages
- F121-F149
- ISSN
- 0013-0133 (ISSN-L)
- 1468-0297
- OpenAlex
- W2325909280
- Cited by
- 413
- References
- 4
- FWCI
- 62.22
- Type
- journal article
- Language
- en
- Open access
- green
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