Re-posted from Economist’s View, Mark Thoma points to Arnold Kling ‘Is the Demand for Skill Falling?’ who points to this this NBER paper:
Many researchers have documented a strong, ongoing increase in the demand for skills in the decades leading up to 2000. In this paper, we document a decline in that demand in the years since 2000, even as the supply of high education workers continues to grow. We go on to show that, in response to this demand reversal, high-skilled workers have moved down the occupational ladder and have begun to perform jobs traditionally performed by lower-skilled workers. This de-skilling process, in turn, results in high-skilled workers pushing low-skilled workers even further down the occupational ladder and, to some degree, out of the labor force all together.
If true, this would upset nearly everyone’s narrative apple cart, including mine.