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Author:Dalmazzo, A.
Title:Technological complexity, wage differentials and unemployment
Journal:Scandinavian Journal of Economics
2002 : VOL. 104:4, p. 515-530
Index terms:Complexity
Pay differentials
Unemployment
Technology
Language:eng
Abstract:The authors develops a model to analyse the relation between wages and technological complexity, as characterized by the "O-ring" theory of production, the adoption of a relatively complex technology induces the employer to pay higher wages. It is argued that the model can explain increased within-group wage inequality as a consequence of increased technological heterogeneity among firms.
SCIMA record nr: 248624
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