| Abstract: | A human capital approach is assumed to explain wage differentials among workers in an input-output framework, where skilled workers are produced by means of goods and labor of different kinds. The first part discusses the solution of the input-output system; wage differentials are analyzed in terms of the rate of profit. In the second part, on the basis of an education matrix compiled ad hoc, hypothetical wage differentials are calculated according to education costs and the changes of skill prices at various levels of nonwage incomes derived. |
