Code for "The Rising Return to Non-cognitive Skill"

This paper uses administrative data from Sweden to document trends in the labor market returns to skills. Between 1992 and 2013, the economic return to non-cognitive skill – a psychologist-assessed measure of teamwork and leadership skill – roughly doubled. The return to cognitive skill was relatively stable and decreased modestly during the 2000s, however. Among men with similar levels of education, the return to non-cognitive skill is higher than the return to cognitive skill. The increasing return to non-cognitive skill is driven by changes at the top of the wage distribution and by sorting into higher-paying occupations.<br>