Kenneth R. Troske

Workers, Wages, and Technology

This paper documents how plant-level wages, occupational mix, workforce education, and productivity vary with the adoption and use of new factory automation technologies such as programmable controllers, computer-automated design, and numerically controlled machines. Our cross-sectional results show that plants that use a large number of new technologies employ more educated workers, employ relatively more managers, professionals, and precision-craft workers, and pay higher wages. However, our longitudinal analysis shows little correlation between skill upgrading and the adoption of new technologies. It appears that plants that adopt new factory automation technologies have more skilled workforces both pre- and postadoption.

Technology and Jobs: Secular Changes and Cyclical Dynamics

In this paper, we exploit plant-level data for U.S. manufacturing for the 1970s and 1980s to explore the connections between changes in technology and the structure of employment and wages. We focus on the nonproduction labor share (measured alternatively by employment and wages) as the variable of interest. Our main findings are summarized as follows: (i) aggregate changes in the nonproduction of labor share at annual and longer frequencies are dominated by within plant changes; (ii) the distribution of annual within plant changes exhibits a spike at zero, tremendous heterogeneity and fat left and right tails; (iii) within plant secular changes are concentrated in recessions; and (iv) while observable indicators of changes in technology account for a significant fraction of the secular increase in the average nonproduction labor share, unobservable factors account for most of the secular increase, most of the cyclical variation and most of the cross sectional heterogeneity.

On Measuring Segregation in Samples with Small Units

Standard indexes of segregation measure a samples distance from evenness, which occurs when each sample unit (e.g., an occupation) has the population share of both the minority and majority groups. We show that random allocation of individuals to units generates substantial unevenness among small units and hence that standard segregation indexes reflect random allocation as well as systematic group segregation. We then modify two popular indexes so that they measure deviations from random allocation rather than deviations from evenness. An empirical example suggests that these modified indexes provide improved measures of the systematic component of group segregation.

Wage and Productivity Dispersion in United States Manufacturing: The Role of Computer Investment

Using establishment‐level data, we shed light on the sources of the changes in the structure of production, wages, and employment that have occurred over recent decades. Our findings are: (1) the between‐plant component of wage dispersion is an important and growing part of total wage dispersion; (2) much of the between‐plant increase in wage dispersion is within industries; (3) the between‐plant measures of wage and productivity dispersion have increased substantially over recent decades; and (4) a significant fraction of the rising dispersion in wages and productivity is accounted for by changes in the distribution of computer investment across plants.

The Labor-Market Returns to Community College Degrees, Diplomas, and Certificates

This article provides one of the first rigorous estimations of the labor-market returns to community college certificates and diplomas, as well as estimations of the returns to the more commonly studied associate’s degrees. Using administrative data from Kentucky, we estimate panel-data models that control for differences among students in precollege earnings and educational aspirations. Associate’s degrees and diplomas have quarterly earnings returns of nearly

Gender Segregation in Small Firms

2,400 for women and

Using State Administrative Data to Measure Program Performance

1,500 for men, compared with much smaller returns for certificates. There is substantial heterogeneity in returns across fields of study. Degrees, diplomas, and—for women—certificates correspond with higher levels of employment.

Sex Segregation in U.S. Manufacturing

This paper studies interfirm gender segregation in a unique sample of small employers. We find that interfirm segregation is prevalent among small employers, as men and women rarely work in fully integrated firms. We also find that the education and sex of the business owner strongly influence the sex composition of a firms workforce. Finally, we estimate that interfirm segregation can account for up to 50 percent of the gender gap in annual earnings.

Interfirm Segregation and the Black/White Wage Gap

We use administrative data from Missouri to examine the sensitivity of earnings impact estimates for a job training program based on alternative nonexperimental methods. We consider regression adjustment, Mahalanobis distance matching, and various methods using propensity-score matching, examining both cross-sectional estimates and difference-in-difference estimates. Specification tests suggest that the difference-in-difference estimator may provide a better measure of program impact. We find that propensity-score matching is most effective, but the detailed implementation is not of critical importance. Our analyses demonstrate that existing data can be used to obtain useful estimates of program impact.

The Effects of Welfare-to-Work Program Activities on Labor Market Outcomes

This study of interplant sex segregation in the U.S. manufacturing industry improves on previous work by using more detailed information on the characteristics of both workers and firms and adopting an improved measure of segregation. The data source is the Worker-Establishment Characteristics Database (a U.S. Census Bureau database) for 1990. There are three main findings. First, interplant sex segregation in the U.S. manufacturing industry is substantial, particularly among blue-collar workers. Second, even in analyses that control for a variety of plant characteristics, the authors find that female managers tend to work in the same plants as female supervisees. Finally, they find that interplant sex segregation can account for a substantial fraction of the male/female wage gap in the manufacturing industry, particularly among blue-collar workers.