The impact of internal and external variables on firm-level wages is examined using data for 436 UK firms over the period 1976-1986. The evidence indicates that both matter, as firm-level profit per employee and industrial wages affect wages positively. The results also indicate that the...

Demand for less skilled workers decreased dramatically in the US and in other developed countries over the past two decades. We argue that pervasive skill biased technological change rather than increased trade with the developing world is the principal culprit. The pervasiveness of this...