published in: Applied Economics, 2010, 42(13), 1747-1760
We analyse the information in the Dictionary of Occupational Titles to characterize the
structure of labour demand. Two dimensions, an intellectual factor and a dexterity factor
capture most variation in job requirements. Job complexity in relation to Things correlates
highly with the dexterity factor. Complexity in relation to Data is intricately interwoven with
most other dimensions of jobs. Remarkably, while complexity in relation to Data and to
Things associates with extensive training, this does not hold for complexity in relation to
People. There is no dichotomy between mathematical and verbal required skills. Poor
working conditions are not the exclusive prerogative for workers in low level jobs. This
independence provides a good setting for testing the theory of compensating wage
differentials and indeed we find a good deal of support.
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