Replication data for: Capital-Skill Complementarity and the Skill Premium in a Quantitative Model of Trade
Principal Investigator(s): View help for Principal Investigator(s) Fernando Parro
Version: View help for Version V1
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Project Citation:
Parro, Fernando. Replication data for: Capital-Skill Complementarity and the Skill Premium in a Quantitative Model of Trade. Nashville, TN: American Economic Association [publisher], 2013. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E114271V1
Project Description
Summary:
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Technological change has reduced the relative price of capital
goods. Reductions in trade costs make it cheaper to import capital
goods. With capital-skill complementarity, both can increase the skill
premium. I construct a general-equilibrium trade model with capital-skill complementarity to study the impact of changing worldwide trade costs and technologies on the skill premium. The impacts of trade costs and technical change are comparable, especially in developing countries, and much larger than Stolper-Samuelson effects. I find that both skilled and unskilled labor gain from trade, and that larger gains from trade are associated with larger increases in the skill premium. (JEL E22, F11, F16, J24, O33)
Scope of Project
JEL Classification:
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E22 Investment; Capital; Intangible Capital; Capacity
F11 Neoclassical Models of Trade
F16 Trade and Labor Market Interactions
J24 Human Capital; Skills; Occupational Choice; Labor Productivity
O33 Technological Change: Choices and Consequences; Diffusion Processes
E22 Investment; Capital; Intangible Capital; Capacity
F11 Neoclassical Models of Trade
F16 Trade and Labor Market Interactions
J24 Human Capital; Skills; Occupational Choice; Labor Productivity
O33 Technological Change: Choices and Consequences; Diffusion Processes
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