02020cas a2200253 a 4500 AALejournalIMF009020 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451974621 1018-5941 BD-DhAAL BD-DhAAL Keane, Michael. The Relation Between Skill Levels and the Cyclical Variability of Employment, Hours, and Wages / Michael Keane, Eswar Prasad. Washington, D.C. : International Monetary Fund, 1993. 1 online resource (38 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 This paper uses micro panel data to examine differences in the cyclical variability of employment, hours, and real wages for skilled and unskilled workers. Contrary to conventional wisdom, we find that, at the aggregate level, skilled and unskilled workers are subject to essentially the same degree of cyclical variation in wages. However, important differences emerge in the patterns of employment and hours variation for skilled versus unskilled workers, especially when a college degree is used as a proxy for skills. We find that the quality of labor input per manhour tends to rise in recessions, thereby inducing a countercyclical bias in aggregate measures of the real wage. We also find substantial differences across industries in the cyclical variation of employment, hours, and wage differentials, which we interpret as indicative of important inter-industry differences in labor contracting. Mode of access: Internet Prasad, Eswar. IMF Working Papers; Working Paper ; No. 1993/044 Full text available on IMF http://elibrary.imf.org/view/journals/001/1993/044/001.1993.issue-044-en.xml IMF e-Library