Quality of Education, Productivity Changes, and Income Distribution

Shailendra Raj Mehta

Journal of Labor Economics, 2000, vol. 18, issue 2, 252-81

Abstract: A general equilibrium model of a dual economy is constructed with workers and managers and hierarchical production. Ability is continuous, and there is perfect competition in the product market. Higher quality of education is treated as a form of technical progress. An equilibrium wage profile is derived. Different kinds of technical and productivity changes yield different gainers and losers. Declines in the quality of education generally lead to an increase in inequality. Surprisingly, groups suffering from declines in quality of education often benefit at the costs of others. Parallels are drawn with recent experience. Copyright 2000 by University of Chicago Press.

Date: 2000
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://dx.doi.org/10.1086/209958 full text (application/pdf)
Access to full text is restricted to subscribers. See http://www.journals.uchicago.edu/JOLE for details.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ucp:jlabec:v:18:y:2000:i:2:p:252-81

Access Statistics for this article

More articles in Journal of Labor Economics from University of Chicago Press
Bibliographic data for series maintained by Journals Division ().