skillbiased

Skillbiased is an adjective used to describe changes or policies that favor skilled over unskilled labor in labor markets. It denotes shifts in demand or compensation that benefit workers with higher levels of education, training, or expertise, often as a result of technological change, globalization, or shifts in education systems.

The term is closely associated with "skill-biased technological change" (SBTC), a framework in economics that explains rising wage premia for skilled workers since the late 20th century. Prominent researchers include Autor, Levy, and Murnane, as well as Acemoglu and Goldin, who argue that modern innovations complement skilled workers' tasks while automating routine tasks.

Mechanisms include automation, digitization, and software that substitute for routine manual or cognitive work while expanding the productivity of skilled labor. Globalization and offshoring may also alter task content, increasing demand for high-skill capabilities such as problem solving, programming, and data analysis. Empirical evidence shows rising wage differentials and shifts in employment shares in many economies, though effects vary by sector and country.

Policy responses focus on education and training, lifelong learning, and programs aimed at expanding access to higher-skill occupations. Some critiques emphasize other drivers of inequality, such as institutions, globalization, or labor market dynamics, and caution against attributing all changes to technology alone. The term skillbiased is also used in broader discussions of how technology and policy shape the demand for different skill levels.