A Schumpeterian model of protection and relative wages
Article Abstract:
A two-country dynamic general equilibrium model of research and development (R&D)-based international trade is constructed to determine whether trade liberalization causes wage inequality. Results indicate that free trade increases R&D investment and rate of technological change. It also leads to reduction of the relative wage of unskilled workers and skill upgrading when the manufacturing of final products involves a R&D activity that is skilled-labor intensive. The model is validated by time series evidence for the US and simulation analysis.
Publication Name: American Economic Review
Subject: Economics
ISSN: 0002-8282
Year: 1999
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General versus specific skills in labor markets with search friction and firing costs
Article Abstract:
Recruitment, termination and compensation costs associated with skilled labor and unskilled labor are evaluated.
Publication Name: American Economic Review
Subject: Economics
ISSN: 0002-8282
Year: 2006
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Why beauty matters
Article Abstract:
Compensatory difference between intellectual and normal employees is evaluated.
Publication Name: American Economic Review
Subject: Economics
ISSN: 0002-8282
Year: 2006
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