TY - JOUR AU - Bartel,Ann P. AU - Sicherman,Nachum TI - Technological Change and Wages: An Inter-Industry Analysis JF - National Bureau of Economic Research Working Paper Series VL - No. 5941 PY - 1997 Y2 - February 1997 UR - http://www.nber.org/papers/w5941 L1 - http://www.nber.org/papers/w5941.pdf N1 - Author contact info: Ann P. Bartel Graduate School of Business Columbia University 3022 Broadway, 623 Uris Hall New York, NY 10027 Tel: 212/854-4419 Fax: (212) 316-9219 E-Mail: apb2@columbia.edu Nachum Sicherman Graduate School of Business Columbia University 3022 Broadway, 819 Uris New York, NY 10027 Tel: 212/854-4464 Fax: 212/854-9895 E-Mail: nachum.sicherman@columbia.edu AB - Previous research has found evidence that wages in industries characterized as high tech,' or subject to higher rates of technological change, are higher. In addition, there is evidence that skill-biased technological change is responsible for the dramatic increase in the earnings of more educated workers relative to less educated workers that took place during the 1980s. In this paper, we match a variety of industry level measures of technological change to a panel of young workers observed between 1979 and 1993 (NLSY) and examine the role played by unobserved heterogeneity in explaining the positive relationships between technological change and wages, and between technological change and the education premium. We find evidence that the wage premium associated with technological change is primarily due to the sorting of better workers into those industries. In addition, the education premium associated with technological change is found to be the result of an increase in demand for the innate ability or other observable characteristics of more educated workers. ER -