PPI Technology Project
 
New Economy Index Home
 
Introduction
 
SECTION I
What's New About The New Economy?


Industrial and Occupational Change

New Industries and Jobs

Skills and Wages

Globalization

Trade

Foreign Direct Investment

Dynamism and Competition

Gazelles

Competition

"Coopetition"

The Churn Economy

Product and Service Diversity

Speed

The Information Technology Revolution

Microelectronic Proliferation

Cost of Computing

Cost of Data Transmission
 
SECTION II
New Economy Outcomes: Impacts on Americans

 
SECTION III
Foundations for Future Growth

 
Explaining the Productivity Paradox
 
The Knowledge Economy
 
Nine Myths About the New Economy
 
Data Sources
 
Endnotes
 
The Authors
 

 
The New Economy Index
What's New About the New Economy?

INDUSTRIAL AND OCCUPATIONAL CHANGE
 

High-Wage, High-Skill Jobs Have Grown, But So Have Low-Wage, Low-Skill Jobs

WHY IS THIS IMPORTANT? The rise of new industries has meant the rise of new jobs, while new technology and new ways of organizing work have transformed many existing jobs. Both trends have changed the occupational mix in America, which in turn affects economic opportunity and well-being.

THE TREND: Knowledge-based jobs (those requiring post secondary, vocational, or higher education) have grown as a share of total employment. For example, there were fewer than 5,000 computer programmers in America in 1960, and there are over 1.3 million today. Managerial and professional jobs increased as a share of total employment from 22 percent in 1979 to 28.4 percent in 1995. However, in the last decade, as the share of these knowledge-based jobs has increased, the share of mid-level skilled jobs has declined.

This bifurcating trend of growth in both high- and low-skilled jobs is expected to continue. Jobs requiring an associates degree or above are expected to increase from 31 percent of all jobs in 1996 to 32.4 percent in 2006. And while the share of jobs requiring moderate-term training is expected to decline by 1.1 percent, the share of jobs requiring only short-term training is expected to decline only 0.3 percent. Low-skilled jobs are not going away any time soon. The occupations with the largest predicted numerical increases are cashiers, janitors, retail salespersons, waiters, and waitresses. Together, they are expected to account for 13 percent of all new job growth.

THE DATA:



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Index Home | Introduction
SECTION I | SECTION II | SECTION III
Productivity Paradox | Knowledge Economy
Nine Myths | Data Sources | Endnotes | The Authors
 
 
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