IdEP Seminar, Lorenzo Navarini - "Changes in Returns to Multidimensional Skills across Cohorts"
Institute of Economics
Date: 17 January 2024 / 12:30 - 13:30
Online in MS Teams
While social skills seem to gain importance in the workplace, other skills may become less relevant. The evolution in skill demand and supply directly affects wage returns to skills over time. However, estimating returns to skills is challenging: a potential bias comes from unmeasured ability differences, and there is an indirect return through college. This paper estimates direct and indirect returns to skills, controlling for unmeasured ability differences, using a novel dynamic model with endogenous cognitive, social, and diligence skills. In Germany, across recent cohorts, returns to social skills grew by 6 percentage points across cohorts. Due to routine task displacement and sorting into routine-intensive occupations, returns to diligence skills for low-cognitive individuals dropped by 10 percentage points.
Teams link
Meeting ID: 393 637 527 642
Passcode: uczYXM
