Labor market effects of technology shocks biased toward the traded sector*

• 成果类型: Article
• 署名作者: Bertinelli, Luisito; Cardi, Olivier; Restout, Romain
• 署名单位: University of Luxembourg; Lancaster University; Universite de Lorraine; Universites de Strasbourg Etablissements Associes; Universite de Strasbourg; Centre National de la Recherche Scientifique (CNRS)
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2022.103645
• 发表日期: 2022
• 关键词: Sector -biased technology shocks; Factor -augmenting eff iciency; open economy; Labor reallocation; CES production function; Labor income share

摘要

Our VAR evidence for OECD countries reveals that the non-traded sector alone drives the increase in hours worked following a technology shock that increases permanently traded relative to non-traded TFP. The shock generates a reallocation of labor toward the non-traded sector which contributes to 35% of the rise in non-traded hours worked. Both labor reallocation and variations in labor income shares are found empirically connected with factor-biased technological change. Our quantitative analysis shows that a two-sector open economy model with flexible prices can reproduce the labor market effects we document empirically once we allow for imperfect mobility of labor, a demand for home-produced traded goods which is elastic enough w.r.t. the terms of trade, and factor-biased technological change. When calibrating the model to country-specific data, its ability to account for the cross-country reallocation and redistributive effects we estimate increases once we let factor-biased technological change vary between sectors and countries. (c) 2022 The Author(s). Published by Elsevier B.V.