TY  - JOUR
AU  - Dickens,William T.
TI  - Do Labor Rents Justify Strategic Trade and Industrial Policy?
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 5137
PY  - 1995
Y2  - May 1995
UR  - http://www.nber.org/papers/w5137
L1  - http://www.nber.org/papers/w5137.pdf
N1  - Author contact info:
William Dickens
School of Public Affairs
University of Maryland
College Park, Maryland  20742-1821
Tel: 301 405-3494
E-Mail: wtdickens@gmail.com
AB  - Several efficiency wage theories of wage determination have the property that identical workers are more productive in high wage industries and that the promotion of employment in high wage industries can increase GDP (and some measures of welfare).  I argue that while policies to favor high wage industries may increase productivity, the effects in developed economies are likely to be very small.  This is mainly because the workers who fill the high wage vacancies will come from fairly high wage jobs.
ER  -