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Title: Skill Premium in Chile: Testing the Skill Bias Technical Change Hypothesis in the South

Citation Type: Miscellaneous

Publication Year: 2006

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Abstract: Understanding the evolution of the skill premium is important to understand both the evolution of inequality among workers of different qualifications and the characteristics of the development process of a country. In this paper, I use sectoral and macro data for Chile and the US to explain the evolution of the relative demand for skilled labor in Chile in the context of a model of endogenous technological choice where new technologies are developed in the US and adopted in Chile. Macro and sectoral evidence confirm the main theoretical predication of the model: patterns of skill upgrading in Chile have followed the evolution of the same variable in the US.

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Authors: Gallego, Francisco A.

Publisher: Central Bank of Chile

Data Collections: IPUMS USA

Topics: Education, Labor Force and Occupational Structure

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