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Job polarization and labour supply changes in the UK

Author

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  • Montresor, Giulia

Abstract

This paper investigates the effect of technological exposure on UK employment polarization during 1993–2014. The identification strategy exploits variation across local labour markets in the historical specialization in routine-intensive activities. The Routine Biased Technical Change hypothesis is tested and only partly corroborated. Strikingly, I find no effect of technological exposure on the growth of high-skilled non-routine cognitive jobs. I claim that the rapid educational upgrading of the 1990s may help explain this result. This is supported by evidence of a marked increase in outflows of both graduates and non-graduates from the top moving down the occupational ladder since 1991.

Suggested Citation

  • Montresor, Giulia, 2019. "Job polarization and labour supply changes in the UK," Labour Economics, Elsevier, vol. 58(C), pages 187-203.
    • Handle: RePEc:eee:labeco:v:58:y:2019:i:c:p:187-203
    DOI: 10.1016/j.labeco.2018.05.009
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    Citations

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    Cited by:

    1. Peter Levell & Matthias Parey & Aitor Irastorza-Fadrique, 2023. "Household responses to trade shocks," IFS Working Papers W23/13, Institute for Fiscal Studies.
    2. Ms. Era Dabla-Norris & Carlo Pizzinelli & Jay Rappaport, 2019. "Job Polarization and the Declining Fortunes of the Young: Evidence from the United Kingdom," IMF Working Papers 2019/216, International Monetary Fund.
    3. Roupakias, Stelios, 2023. "Employment polarization: evidence from regions in Greece," MPRA Paper 118696, University Library of Munich, Germany.
    4. Du Yuhong & Wei Xiahai, 2020. "Task content routinisation, technological change and labour turnover: Evidence from China," The Economic and Labour Relations Review, , vol. 31(3), pages 324-346, September.
    5. Andreas Beerli & Ronald Indergand & Johannes S. Kunz, 2023. "The supply of foreign talent: how skill-biased technology drives the location choice and skills of new immigrants," Journal of Population Economics, Springer;European Society for Population Economics, vol. 36(2), pages 681-718, April.
    6. Rafael Novella & David Rosas-Shady & Alfredo Alvarado, 2023. "Are we nearly there yet? New technology adoption and labor demand in Peru," Science and Public Policy, Oxford University Press, vol. 50(4), pages 565-578.
    7. Antonio Martins-Neto & Nanditha Mathew & Pierre Mohnen & Tania Treibich, 2024. "Is There Job Polarization in Developing Economies? A Review and Outlook," The World Bank Research Observer, World Bank, vol. 39(2), pages 259-288.
    8. Wang, Jun & Hu, Yong & Zhang, Zhiming, 2021. "Skill-biased technological change and labor market polarization in China," Economic Modelling, Elsevier, vol. 100(C).

    More about this item

    Keywords

    Job polarization; Labour supply changes; Local labour markets; Occupational mobility;
    All these keywords.

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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