Occupational Choice and Changes in the Wage Structure

Christopher Taber and Nicolas Roys
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Christopher Taber: University of Wisconsin-Madison

No 656, 2015 Meeting Papers from Society for Economic Dynamics

Abstract: This paper proposes and estimates a model of occupational choice with time-varying skills prices and heterogeneous human capital to understand the evolution of the wage structure since 1979. A worker's multi-dimensional skills are exploited differently across different occupations. We allow for a rich specification of technological change which has heterogenous effects on different occupations and different parts of the skill distribution. We estimate the model combining three datasets: (1) O'NET, to measure skill intensity across occupations, (2) NLSY, to estimate life-cycle effects, and (3) MORG CPS, to estimate technological shifts.

Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:red:sed015:656

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