Elasticity of substitution and productivity, capital and skill intensity differences across firms |
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| Authors: | Arnaud Dupuy Andries de Grip |
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| Institution: | Research Center for Education and the Labour Market (ROA), Maastricht University PO Box 616, NL-6200 MD, The Netherlands |
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| Abstract: | This paper, instrumented with six theorems, shows that differences between firms in labor productivity, capital intensity and relative demand for skilled labor can be explained by differences in the substitution parameters between capital, skilled and unskilled labor in the presence of skill biased technical change. |
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| Keywords: | Elasticity of substitution Labor productivity Capital intensity and skill biased technical change |
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