SKILL POLARIZATION IN LOCAL LABOR MARKETS UNDER SHARE‐ALTERING TECHNICAL CHANGE
构建空间一般均衡模型,研究份额改变的技术进步如何导致地方劳动力市场出现高技能和低技能劳动者比例同时增加的技能极化现象,并验证了模型预测与现有证据的一致性。
ABSTRACT This paper considers the “share‐altering” technical change hypothesis in a spatial general equilibrium model where individuals have different levels of skills. Building on a simple Cobb‐Douglas production function, our model shows that the implementation of skill‐biased technologies requires a sufficient proportion of highly educated individuals. Moreover, when technical progress disproportionately replaces middle‐skill jobs, the local distribution of skills will exhibit “fat‐tails,” where the proportion of both highly skilled and low‐skilled workers increases. These and several other predictions of the model are consistent with recent existing evidence, and avoid some major criticism against the “canonical” CES framework.