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This econometric analysis investigates the impact of changes in sectoral valueadded prices and total factor productivity (TFP) on the equilibrium relative wage of low-skilled workers in eleven high-income countries. The key finding is that TFP growth mandated an increase in the unskilled wage,...
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The secular shift in labor demand from unskilled to skilled labor is explained within a model that is solved numerically. There are three branches producing a basic good, a differentiated luxury good, and an intermediate service. Production is more skill-intensive in the luxury good and the...
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We introduce search and matching unemployment into a model of trade with differentiated goods and heterogeneous firms …
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We introduce search and matching unemployment into a model of trade with differentiated goods and heterogeneous firms …
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understanding of individuals' attitudes towards the welfare state in aging societies. …
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