01927cas a2200253 a 4500 AALejournalIMF008808 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451845518 1018-5941 BD-DhAAL BD-DhAAL Keane, Michael. The Employment and Wage Effects of Oil Price Changes : A Sectoral Analysis / Michael Keane, Eswar Prasad. Washington, D.C. : International Monetary Fund, 1995. 1 online resource (37 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students In this paper, we use micro panel data to examine the effects of oil price changes on employment and real wages, at the aggregate and industry levels. We also measure differences in the employment and wage responses for workers differentiated on the basis of skill level. We find that oil price increases result in a substantial decline in real wages for all workers, but raise the relative wage of skilled workers. The use of panel data econometric techniques to control for unobserved heterogeneity is essential to uncover this result, which is completely hidden in OLS estimates. We find that changes in oil prices induce changes in employment shares and relative wages across industries. However, we find little evidence that oil price changes cause labor to consistently flow into those sectors with relative wage increases. Mode of access: Internet Prasad, Eswar. IMF Working Papers; Working Paper ; No. 1995/037 Full text available on IMF http://elibrary.imf.org/view/journals/001/1995/037/001.1995.issue-037-en.xml IMF e-Library