Full Citation

Title: Technical Change and Superstar Effects: Evidence from the Rollout of Television

Citation Type: Working Paper

Publication Year: 2020

ISBN:

ISSN:

DOI:

NSFID:

PMCID:

PMID:

Abstract: Technical change that improves economies of scale can generate fast income growth among top earners at the expense of everyone else. I test this classic “superstar model” in the labor market for entertainers where the historic roll-out of television led to a natural experiment in scale-related technological change. The launch of a local TV station multiplied audiences of top entertainers nearly fourfold and resulted in a 50% increase of the top percentile’s income share, a more right-skewed income distribution, and significant income losses for lowerranked entertainers. The results confirm the predictions of the “superstar model” and are at odds with canonical models of skill-biased technological change.

Url: http://eprints.lse.ac.uk/103450/4/dp1663.pdf

User Submitted?: Yes

Authors: Koenig, Felix

Series Title: CEP Discussion Paper

Publication Number: 1663

Institution: Centre for Economic Performance

Pages:

Publisher Location:

Data Collections: IPUMS USA, IPUMS NHGIS

Topics: Labor Force and Occupational Structure

Countries: