Skip to main content
SpringerLink
Log in

The New Labor Skills in the New Economy

  • Chapter
  • First Online:
Labor and Employment Relations in a Globalized World

Part of the book series: Contributions to Economics ((CE))

Abstract

In the last 30 years a dramatic change has been observed in the supply and price of skilled labor relative to unskilled labor. The aim of this chapter is to review the recent empirical literature on the changing demand for labor skills, to define the scope and direction of change in labor skills and to explore the reasons of the observed change, especially on the labor skills demanded in knowledge based global economy. Findings on the reasons of skill change are important for the study aims of this book because they lead to results and consequently to implications to be used in the distribution of earnings and employment of the workforce. The empirical research identifies the main reasons of the observed change in skills as the interactions of technological change, organizational change and globalization.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  • Acemoglu D (2002) Technical change, inequality, and the labour market. J Econ Lit 40:7–72

    Article  Google Scholar 

  • Acemoglu D, Aghion P, Violante GL (2001) Deunionization, technical change and inequality. Carnegie-Rochester Conf Ser Public Policy 55:229–264

    Article  Google Scholar 

  • Attanasio O, Goldberg P, Pavcnik N (2004) Trade reforms and income inequality in Colombia. J Dev Econ 74:331–366

    Article  Google Scholar 

  • Autor DH, Levy F, Murnane RJ (2003) The skill content of recent technological change: an empirical exploration. Q J Econ 118:1279–1333

    Article  Google Scholar 

  • Beaudry P, Green D (2005) Changes in U.S. wages, 1976–2000: ongoing skill bias or major technological change? J Labor Econ 23:609–648

    Article  Google Scholar 

  • Behaghel L, Greenan N (2010) Training and age-biased technical change. Ann Econ Stat 99(100):317–342

    Google Scholar 

  • Berman E, Somanathan R, Tan HW (2005) Is skill-biased technological change here yet? Evidence from Indian manufacturing in the 1990's. Ann Econ Stat 79(80):299–321

    Google Scholar 

  • Betts JR (1997) The skill bias of technological change in Canadian manufacturing industries. Rev Econ Stat 79:146–150

    Article  Google Scholar 

  • Blankenau WF, Cassou SP (2011) Industry estimates of the elasticity of substitution and the rate of biased technological change between skilled and unskilled labor. Appl Econ 43:3129–3142

    Article  Google Scholar 

  • Bresnahan T, Brynjolfsson E, Hitt L (2002) Information technology, workplace organization, and the demand for skilled labor. Q J Econ 117:339–376

    Article  Google Scholar 

  • Card D, DiNardo JE (2002) Skill-biased technological change and rising wage inequality: some problems and puzzles. J Labor Econ 20:733–783

    Article  Google Scholar 

  • Caroli E, Van Reenen J (2001) Skill-biased organizational change? Evidence from a panel of British and French establishments. Q J Econ 116:1449–1492

    Article  Google Scholar 

  • Cazzavillan G, Olszewski K (2011) Skill-biased technological change, endogenous labor supply and growth: a model and calibration to Poland and the US. Res Econ 65:124–136

    Article  Google Scholar 

  • Conte A, Vivarelli M (2011) Imported skill biased technological change in developing countries. Dev Econ 49:36–65

    Article  Google Scholar 

  • Dumont M, Rayp G, Willemé P (2012) The bargaining position of low-skilled and high-skilled workers in a globalising world. Labour Econ 19:312–319

    Article  Google Scholar 

  • Englehardt SJ (2009) The evolution of skill-biased effects on American wages in the 1980s and 1990s. J Labor Res 30:135–148

    Article  Google Scholar 

  • Gale H, Wojan TR, Olmsted JC (2002) Skills, flexible manufacturing technology, and work organization. Ind Relat 41:48–79

    Article  Google Scholar 

  • Glaeser EL, Mare DC (2001) Cities and skills. J Labor Econ 19:316–342

    Article  Google Scholar 

  • Green F (2012) Employee involvement, technology and evolution in job skills: a task-based analysis. Ind Labor Relat Rev 65:36–67

    Google Scholar 

  • Haas CT, Rodriguez A, Glover R, Goodrum PM (2001) Implementing a multiskilled workforce. Construct Manag Econ 19:633–641

    Article  Google Scholar 

  • Hanson G, Harrison A (1999) Who gains from trade reform? Some remaining puzzles. J Dev Econ 59:125–154

    Article  Google Scholar 

  • Hansson P (2001) Skill upgrading and production transfer within Swedish multinationals in the 1990s. FIEF working paper series no. 166 Trade Union Institute for Economic Research, Stockholm

    Google Scholar 

  • Kelly R (2007) Changing skill intensity in Australian industry. Aust Econ Rev 40:62–79

    Article  Google Scholar 

  • Kelly R, Lewis P (2003) The new economy and demand for skills. Aust J Labour Econ 6:135–152

    Google Scholar 

  • Kelly R, Lewis P (2010) The change in labor skills in Australia over the business cycle. Aust Bull Labour 36:260–277

    Google Scholar 

  • Lindley J (2012) The gender dimension of technical change and the role of task inputs. Labour Econ 19:516–526

    Article  Google Scholar 

  • Lorenz E, Lundvall B (2011) Accounting for creativity in the European Union: a multi-level analysis of individual competence, labour market structure, and systems of education and training. Camb J Econ 35:269–294

    Article  Google Scholar 

  • Maurin E, Thesmar D (2004) Changes in the functional structure of firms and the demand for skill. J Labor Econ 22:639–664

    Article  Google Scholar 

  • Machin S, Van Reenen J (1998) Technology and changes in skill structure: evidence from seven OECD countries. Q J Econ 113:1215–1244

    Article  Google Scholar 

  • Meschi E, Taymaz E, Vivarelli M (2011) Trade, technology and skills: evidence from Turkish microdata. Labour Econ 18:60–70

    Article  Google Scholar 

  • Moore MP, Ranjan P (2005) Globalisation vs skill-biased technological change: implications for unemployment and wage inequality. Econ J 115:391–422

    Article  Google Scholar 

  • Pavcnik N (2003) What explains skill upgrading in less developed countries? J Dev Econ 71:311–328

    Article  Google Scholar 

  • Perugini C, Pompei F (2009) Technological change and income distribution in Europe. Int Labor Rev 148:123–148

    Article  Google Scholar 

  • Piva M, Santarelli E, Vivarelli M (2005) The skill bias effect of technological and organisational change. Evidence and policy implications. Res Pol 34:141–157

    Article  Google Scholar 

  • Revenga A (1997) Employment and wage effects of trade liberalization: the case of Mexican manufacturing. J Labor Econ 15:20–43

    Article  Google Scholar 

  • Snower DJ (1998) Causes of changing earnings inequality in income inequality; issues and policy options a symposium sponsored by the Federal Reserve Bank of Kansas City, pp 69–133

    Google Scholar 

  • Wheeler CH (2005) Cities, skills and inequality. Growth Change 36:329–353

    Article  Google Scholar 

  • Wollf NE (1995) Technology and the demand for skills. Levy Economics Institute working paper no. 153. Available at SSRN: http://ssrn.com/abstract=116308 or http://dx.doi.org/10.2139/ssrn.116308

  • Wood A (1995) How trade hurt unskilled workers. J Econ Perspect 9:57–80

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Faculty of Economics and Administrative Sciences, Department of Management, Işık University, Şile, Istanbul, Turkey

    Pınar Falcıoğlu

Authors
  1. Pınar Falcıoğlu
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Pınar Falcıoğlu .

Editor information

Editors and Affiliations

  1. Isik University Department of Management, Istanbul, Turkey

    Toker Dereli

  2. Isik University Department of Management, Istanbul, Turkey

    Y. Pinar Soykut-Sarica

  3. Isik University Department of Economics, Istanbul, Turkey

    Asli Şen-Taşbaşi

Rights and permissions

Reprints and permissions

Copyright information

© 2014 Springer International Publishing Switzerland

About this chapter

Cite this chapter

Falcıoğlu, P. (2014). The New Labor Skills in the New Economy. In: Dereli, T., Soykut-Sarica, Y., Şen-Taşbaşi, A. (eds) Labor and Employment Relations in a Globalized World. Contributions to Economics. Springer, Cham. https://doi.org/10.1007/978-3-319-04349-4_9

Download citation

Publish with us

Policies and ethics

Search

Navigation