Skill-Biased Technological Change vs. Capital-Skill Complementarity: Evidence from OECD Countries∗

It is generally agreed that skill-biased technological change (SBTC) and capital-skill complementarity (CSC) are the two main driving forces behind the large increase in the relative demand for skilled labor, which has taken place in most OECD countries during the last couple of decades. However, the different nature of technological change and the composition of capital ∗We would like to thank Mun Ho, Sergio Perelman, Robin Sickles as well as seminar participant