From Socialism to Capitalism: Low-Skill-Biased Change in the Baltics during the Transition and Beyond

Author:

Christenko Aleksandr1,Martinaitis Žilvinas2,Krūminas Pijus1

Affiliation:

1. Visionary Analytics and ISM University of Management and Economics , M. Valančiaus 1A , Vilnius , Lithuania

2. Visionary Analytics and Vilnius University , M. Valančiaus 1A , Vilnius , Lithuania

Abstract

Abstract How did technological upgrading in the Baltics during the transition from planned to market economy affect labour? Existing academic literature would imply a skill-biased or polarising effect. However, we find that the opposite is likely true—technological upgrading predominantly benefited lower skilled workers. This is explained by an abundance of lower skilled labour, which fostered the usage of less advanced technologies that such workers could utilise. This article contributes to the discussion on the relationship between technology and labour by highlighting that technological upgrading may lead to low-skill-biased change.

Publisher

Walter de Gruyter GmbH

Subject

Political Science and International Relations,Sociology and Political Science,History

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