TY  - RPRT
        AU  - Gersbach, Hans
AU  - Schniewind, Achim
        TI  - Uneven Technical Progress and Unemployment
        PY  - 2002/Apr/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 478
        UR  - https://www.iza.org/publications/dp478
        AB  - In a two-sector model with real wage rigidity, we examine how technical progress in one sector affects unemployment in the whole economy. We show that aggregate unemployment decreases for uneven technical change in the case of Cobb-Douglas production functions. For every type of technical progress, however, there are also elasticities of substitution in production and utility functions leading to a rise in unemployment. Moreover, we identify polar cases when unemployment strongly decreases.
        KW  - elasticities of substitution
KW  - uneven technical progress
KW  - unemployment
        ER  -