Are changes in education important for the wage premium and unemployment?

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International Economic Review, v.47 (1), pp.129-160, 2006
http://hdl.handle.net/10230/727
To cite or link this document: http://hdl.handle.net/10230/727
dc.contributor.author Cuadras Morató, Xavier
dc.contributor.author Mateos Planas, Xavier
dc.contributor.other Universitat Pompeu Fabra. Departament d'Economia i Empresa
dc.date.issued 2003-03-01
dc.identifier.citation International Economic Review, v.47 (1), pp.129-160, 2006
dc.identifier.uri http://hdl.handle.net/10230/727
dc.description.abstract A generalized rise in unemployment rates for both college and high-school graduates, a widening education wage premium, and a sharp increase in college education participation are characteristic features of the transformations of the U.S. labor market between 1970 and 1990. This paper investigates the interactions between these changes in the labor market and in educational attainment. First, it develops an equilibrium search and matching model of the labor market where education is endogenously determined. Second, calibrated versions of the model are used to study quantitatively whether either a skill-biased change in technology or a mismatch shock can explain the above facts. The skill-biased shock accounts for a considerable part of the changes but fails to produce the increase in unemployment for the educated labor force. The mismatch shock explains instead much of the change in the four variables, including the wage premium.
dc.language.iso eng
dc.relation.ispartofseries Economics and Business Working Papers Series; 707
dc.rights L'accés als continguts d'aquest document queda condicionat a l'acceptació de les condicions d'ús establertes per la següent llicència Creative Commons
dc.rights.uri http://creativecommons.org/licenses/by-nc-nd/3.0/es/
dc.title Are changes in education important for the wage premium and unemployment?
dc.title.alternative Skill bias and employment frictions in the US labor market 1970-90
dc.type info:eu-repo/semantics/workingPaper
dc.date.modified 2014-06-03T07:14:09Z
dc.subject.keyword Macroeconomics and International Economics
dc.subject.keyword Labour, Public, Development and Health Economics
dc.subject.keyword education
dc.subject.keyword wage premium
dc.subject.keyword unemployment
dc.rights.accessRights info:eu-repo/semantics/openAccess


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