Skill Labor,skill-biased Technical Change And Skill Premium

The income distribution is the source of livelihood.Income distribution has been related to economic development and social stability.And we know that wage is the main revenue of the workers.A reasonable wage distribution system has an active role in promoting the work of the workers and maintaining the harmony of the society.The study of wage distribution has practical significance.The skill premium refers to the ratio of the labor remuneration of the skilled workers to the non-skilled workers.Labor market structure and biased technical change and institutional have an impact on skill premium,but the most important reason for the evolution of the skill premium is the dispute in the academic circle.This paper analyzes the status quo of skill labor and skill premium by using the theories of technical economics,industrial economics and regional economics.It probes into the influence mechanism of the relative supply and demand of skill labor on the skill premium.Then,using a normalized supply-side system approach,it examines skill labor relative quantity,skill-biased technical change and capital-skill complementarity on the influence of skill premium.Finally,the author puts forward some suggestions on how to control the wage gap moderately.The empirical results show that:(1)The technical change is biased to skill labor in industrial sector and eastern,middle and western parts of China.Skill-biased technical change effect is an essential factor that have caused the evolution of skill premium.Manufacturers are willing to put more money into skill-intensive technology research to enhance productivity and increase the skills of labor demand,widening income gap between workers.(2)Skill labor relative quantity effect has imposed a negative effect on skill premium.In higher education enrollment expansion and the effect of learning by doing,human capital level and the labor production efficiency continue to improve,causing the skill labor relative supply continues to increase and skill premium reduces.(3)Capital-skill complementarity exists in industrial sector and eastern,middle and western parts of China.Capital-skill complementarity effect has imposed a positive and impelling effect on skill premium.With the improvement of international trade liberalization,the cost of trade continues to decrease and the introduction of material capital increases the demand for skilled labor and expands the skill premium.