Technological change and wage premium in a small open economy: The case of Korea

Kang Shik Choi, Jinook Jeong

Research output: Contribution to journalArticle

10 Citations (Scopus)

Abstract

The aim of this study is to analyse the relationship between technological change and the educational wage premium in Korea. The main findings are as follows. First, the changes in educational wage premium were mostly affected by shifts in the supply of college graduates from 1983 to 1993 while the changes were affected more by the shifts in labour demand from 1993 to 2000. Second, the educational wage premium is greater in the industries with rapid technological change than in the industries with slower technological change. Third, the educational wage premium associated with the technological change is mostly explained by the returns to worker's unobserved heterogeneities, which is correlated with education, rather than the returns to education per se. Finally, there are some evidences that skill biased technologies are developed as the number of skilled workers are increasing.

Original languageEnglish
Pages (from-to)119-131
Number of pages13
JournalApplied Economics
Volume37
Issue number1
DOIs
Publication statusPublished - 2005 Jan 20

Fingerprint

Korea
Technological change
Education
Premium
Small open economy
Wages
Industry
Returns to education
Skilled workers
Workers
Labour demand
Unobserved heterogeneity

All Science Journal Classification (ASJC) codes

  • Economics and Econometrics

Cite this

@article{5a7cc69616ef4a1fa26bd4dfe048a8e6,
title = "Technological change and wage premium in a small open economy: The case of Korea",
abstract = "The aim of this study is to analyse the relationship between technological change and the educational wage premium in Korea. The main findings are as follows. First, the changes in educational wage premium were mostly affected by shifts in the supply of college graduates from 1983 to 1993 while the changes were affected more by the shifts in labour demand from 1993 to 2000. Second, the educational wage premium is greater in the industries with rapid technological change than in the industries with slower technological change. Third, the educational wage premium associated with the technological change is mostly explained by the returns to worker's unobserved heterogeneities, which is correlated with education, rather than the returns to education per se. Finally, there are some evidences that skill biased technologies are developed as the number of skilled workers are increasing.",
author = "Choi, {Kang Shik} and Jinook Jeong",
year = "2005",
month = "1",
day = "20",
doi = "10.1080/0003684042000290147",
language = "English",
volume = "37",
pages = "119--131",
journal = "Applied Economics",
issn = "0003-6846",
publisher = "Routledge",
number = "1",

}

Technological change and wage premium in a small open economy : The case of Korea. / Choi, Kang Shik; Jeong, Jinook.

In: Applied Economics, Vol. 37, No. 1, 20.01.2005, p. 119-131.

Research output: Contribution to journalArticle

TY - JOUR

T1 - Technological change and wage premium in a small open economy

T2 - The case of Korea

AU - Choi, Kang Shik

AU - Jeong, Jinook

PY - 2005/1/20

Y1 - 2005/1/20

N2 - The aim of this study is to analyse the relationship between technological change and the educational wage premium in Korea. The main findings are as follows. First, the changes in educational wage premium were mostly affected by shifts in the supply of college graduates from 1983 to 1993 while the changes were affected more by the shifts in labour demand from 1993 to 2000. Second, the educational wage premium is greater in the industries with rapid technological change than in the industries with slower technological change. Third, the educational wage premium associated with the technological change is mostly explained by the returns to worker's unobserved heterogeneities, which is correlated with education, rather than the returns to education per se. Finally, there are some evidences that skill biased technologies are developed as the number of skilled workers are increasing.

AB - The aim of this study is to analyse the relationship between technological change and the educational wage premium in Korea. The main findings are as follows. First, the changes in educational wage premium were mostly affected by shifts in the supply of college graduates from 1983 to 1993 while the changes were affected more by the shifts in labour demand from 1993 to 2000. Second, the educational wage premium is greater in the industries with rapid technological change than in the industries with slower technological change. Third, the educational wage premium associated with the technological change is mostly explained by the returns to worker's unobserved heterogeneities, which is correlated with education, rather than the returns to education per se. Finally, there are some evidences that skill biased technologies are developed as the number of skilled workers are increasing.

UR - http://www.scopus.com/inward/record.url?scp=12344309345&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=12344309345&partnerID=8YFLogxK

U2 - 10.1080/0003684042000290147

DO - 10.1080/0003684042000290147

M3 - Article

AN - SCOPUS:12344309345

VL - 37

SP - 119

EP - 131

JO - Applied Economics

JF - Applied Economics

SN - 0003-6846

IS - 1

ER -