Despite being critical parameters in many economic fields, the received wisdom, in theoretical and empirical literatures, states that joint identification of the elasticity of capital-labor substitution and technical bias is infeasible. This paper challenges that pessimistic interpretation....

This paper uses a theoretical model with Directed Technical Change to analyse the observed heterogeneous energy intensity developments. Based on the empirical evidence on the underlying drivers of energy intensity developments, we decompose changes in aggregate energy intensity into structural...

There is considerable concern regarding the prospective development of employment levels and job types in the future. The paper tries to highlight major trends shaping the world of work in developed economies with the aim of giving a realistic account of probable developments and the...

Sectoral data features (i) changing relative expenditures of different sectors, (ii) non-constancy in relative prices and (iii) long-run trends in relative TFP growth rates across sectors. We provide a tractable theory of industry directed technical change, which is able to reconcile these...

This paper measures the impact of sectoral composition, international trade and technological progress on the rising wage gap in Germany. I find a positive effect of the increasing importance of services on the rising wage gap in Germany that is comparable to the effects of international trade...