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Some of the recent studies report results for a variety of old industrialized (OECD) countries that are indeed consistent with the U.S. results (Collechia and Papaconstantinou, 1996; Machin, Ryan and Van Reenan, 1996). These countries vary a great deal with respect to changes in their situations with respect to trade, labor market institutions (like the importance of trade unions), and unemployment. Obviously, the relative demand for skilled labor in each of them is rising rapidly. In my view, it is the fairly strong evidence in favor of the wage inequality and technological change story.
A factor that is often cited as the specific issue of the post-1980 is the widespread adoption of computer technology throughout the economy...
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