Skill-Biased Organizational Change? Evidence from A Panel of British and French Establishments

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ID: 297365
2001
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Abstract
This paper investigates the determination and consequences of organizational changes (OC) in a panel of British and French establishments. Organizational changes include the decentralization of authority, delayering of managerial functions, and increased multitasking. We argue that OC and skills are complements. We offer support for the hypothesis of "skill-biased" organizational change with three empirical findings. First, organizational changes reduce the demand for unskilled workers in both countries. Second, OC is negatively associated with increases in regional skill price differentials (a measure of the relative supply of skill). Third, OC leads to greater productivity increases in establishments with larger initial skill endowments. Technical change is also complementary with human capital, but the effects of OC is not simply due to its correlation with technological change but has an independent role.
Reference Key
openalex_W2028534080 Use this key to autocite in the manuscript while using SciMatic Manuscript Manager or Thesis Manager
Authors Ève Caroli, John Van Reenen
Journal the quarterly journal of economics
Year 2001
DOI
10.1162/003355301753265624
URL
https://doi.org/10.1162/003355301753265624
Keywords Keywords not found

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