Skill Composition: Exploring a Wage-based Skill Measure
Øivind Nilsen (),
Marina Rybalka () and
Terje Skjerpen ()
Discussion Papers from Statistics Norway, Research Department
Most studies of heterogeneous labor inputs use classifications of high skilled and low skilled based on workers' educational attainment. In this study we explore a wage-based skill measure using information from a wage equation. Evidence from matched employer--employee data show that skill is attributable to many variables other than educational length, for instance experience and type of education. Applying our wage-based skill measure to a TFP growth analysis, we find that the TFP residual decreases, indicating that more of the change in value-added is picked up by our skill measure than when using a purely education-based measure of skill
Keywords: Skill composition; wages; TFP (search for similar items in EconPapers)
JEL-codes: J31 D24 C23 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-bec, nep-hrm and nep-lab
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Persistent link: https://EconPapers.repec.org/RePEc:ssb:dispap:531
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