ICT capital–skill complementarity and wage inequality: Evidence from OECD countries

Although wage inequality has evolved in advanced countries over recent decades, it remains unknown the extent to which changes and their differences across are attributable specific capital labor quantities. We examine this issue by estimating a sector-level production function extended allow for capital–skill complementarity factor-biased technological change using cross-country cross-industry panel data. Our results indicate that most of skill premium relative quantities ICT equipment, skilled labor, unskilled goods service sectors majority countries.